According to CRE research firm Green Street, over half of department stores anchoring U.S. malls will close by the end of 2021:
Many stores were already facing troubles - Covid is merely accelerating the inevitable.
With anchor stores blowing out, it could trigger "co-tenancy clauses" allowing other tenants to terminate their lease and/or negotiate lower rents.
This comes as Simon Properties announces they will be re-opening 49 malls across the United States in the coming days:
Simon will be providing hand-sanitizer and CDC-approved masks to shoppers who ask for them
Business hours will be limited to 11am-7pm to allow time for cleaning.
Bathroom occupancy and food court seating will be limited to encourage social-distancing