- UBS estimates roughly 75,000 more stores need to close in the U.S., should e-commerce penetration grow to 25% by 2026, from 16% today.- Within that, about 21,000 clothing stores, 10,000 consumer electronics stores, 8,000 home furnishing stores and 1,000 home improvement stores should close, UBS sayshttps://www.cnbc.com/2019/04/09/75000-more-stores-need-to-cl...
I saw that story yesterday on cnbc and again on the Nightly Business Report. Does not bode well for the lesser mall REITs and SKT, if UBS' forecast pans out.David
spg will be fine
e-commerce penetration is inevitable. More and more folks are slowly getting used to it. It is re-shaping retail as we speak and the current real-estate serving retail will be reshaped. The supply destruction has not happening yet. Store closing is not translating into retail space getting re-purposed. It could present opportunities and risk. Investors needs to be on top or avoid this sector.
spg will be fine what about its stock?
Local SPG mall has signs up on the old Sears. Being repurposed into 4 different stores. 3 of them recognizable names. One of them some sort of storage business I've not heard of.News today of Amazon looking at a bunch of empty Sears and K-Mart boxes for Whole Foods sites.
spg stock will do well, David Simon is perhaps the finest ceo in the US, not just the fines reit ceo. Suit yourself.
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