Professor Elam

Weekend July 12, 2015

A reader asks with the demise of Sears will we see the demise of shopping malls. 

Back in the day a shopping mall would operate with three or four 'anchor tenants.'  This would typically be large chain stores like JC Penny, Sears, Melvyn's. Melvyn's is gone and Sears is on the way. Actually Sears has a stand along store in more or a strip mall  at Blanco and North 410. 

I suspect in a move to duplicate Cantera, North Star Mall moved upscale with Dillards, Macys, and SAKS. 

the trend among lower priced stores is more stand alone stir malls. A good example can be found in both San Marcos and New Braunfels where  Pennys and Bealls have stores. Indeed the outlet mall in San Marcos is really a sort of strip mall. 

A candle sore went out of business when I was Bankruptcy Trustee in Odessa. I was shocked to learn the monthly rent was $4,000. I suspect the rents are too high for most retailers and now that AMZN beckons I doubt we will see any enclosed malls constructed again.