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Shopping Malls Stage Resurgence with Online Retailers
Shopping malls are staging a resurgence of sorts. The rebirth is being led by a wave of intriguing online retailers, seeking to create places where consumers can actually experience their products.
Space once housing Macy’s, JC Penney and Sears is being taken by retailers with less than household names. The list includes such names as Flying Tiger, Indochino, b8ta, thredUP, Tommy John, Peloton, Calzedonia, Eloquii, UNTUCKit, Juice Generation and Muji. And Simon Property Group Inc. says there’s another 30 similar stores seeking space at their malls.
Analysts expect premium properties to gain a higher share of emerging retailers, who will pay higher rents as part of their “hybrid,” or more event-driven destination strategy. Demand will likely be lower at outdated, Class C properties.
Emerging retailers are attracted to thriving, high-traffic malls where people want to hang out longer because it is an experience they don’t get online.
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