Grocery stores might be the next big thing to move into malls
CNBC | August 11, 2020
As consumer shopping habits change, America’s shopping malls have anointed many saviors: food halls, movie theaters, gyms. Grocery stores could be next on the list.
Simon Property Group, the largest mall owner in the U.S., hinted at the idea on an earnings call Monday evening. The comments came on the heels of a report that said Amazon was in talks with Simon to open warehouses at some of its shuttered Sears and J.C. Penney locations.
“The important thing going on that we’re seeing is that more and more retailers are distributing their e-commerce orders from their stores. ... That’s a good trend long-term for us.”
Simon Property shares were up nearly 7% Tuesday morning, having fallen about 53% this year. The company’s market cap is $21.3 billion.
The mall operator is setting itself apart from its competitors by trying to innovate in the space and expects the turmoil in the industry will ultimately make it stronger.