Despite the first quarterly fall for U.S. strip mall vacancies in 7 years (from 11% to 10.9% in...

Despite the first quarterly fall for U.S. strip mall vacancies in 7 years (from 11% to 10.9% in Q1), Reis isn't yet calling a bottom for the sector. With new strip mall supply near historic lows, if demand was truly rebounding, vacancies would have shown a stronger decline. "The tide of the economy is not rising quickly enough to raise all the ships in the ocean of retail."

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Comments (7)
  • Poor Texan
    , contributor
    Comments (3527) | Send Message
    "The tide of the economy is not rising quickly enough to raise all the ships in the ocean..."


    Which is why there are so many who discount this 'recovery' as no more than a very slow rise from the depths.
    7 Apr 2012, 11:39 AM Reply Like
  • OptionManiac
    , contributor
    Comments (3476) | Send Message
    Too many store anyway.
    7 Apr 2012, 06:20 PM Reply Like
  • 7footMoose
    , contributor
    Comments (2229) | Send Message
    Read the employment numbers from last week. Retail jobs were down. Apple and Amazon revenues are up. My conclusion is that more and more sales are moving to the Internet and to specialty retailers. If so, then there is no need for all of that retail space. I predict that vacancies in most retail arenas will remain high and actually increase. Strip centers will be the first to go. How many nail shops are really necessary?
    7 Apr 2012, 08:33 PM Reply Like
  • brachiosaurus
    , contributor
    Comments (226) | Send Message
    One of the few bright parts of the recession has been the failure of investments in suburban sprawl. Hopefully this upturn in occupa ncy is just a temporary blip.
    8 Apr 2012, 01:39 AM Reply Like
  • move4ward
    , contributor
    Comments (76) | Send Message
    What is the number of strip malls that have been foreclosed on or closed due to disrepair, during the past year? The vacancy rate could drop, when strip malls are seized for unpaid taxes or a delinquent mortgage. If a strip mall is vacant for a few months, eventually the money will run out. The bank will seize the property.
    8 Apr 2012, 09:59 AM Reply Like
  • Tack
    , contributor
    Comments (16141) | Send Message
    But, if, instead of debating whether malls have "bottomed" or whether better statistics are due to more occupants or fewer malls, one had purchased one of the most depressed and unfavored sectors (commercial realty), one would have made bunches of money and tremendous yields, too:

    8 Apr 2012, 12:05 PM Reply Like
  • DaLatin
    , contributor
    Comments (1522) | Send Message
    Many rush in just when things are turning back down ! Seems the hedge funds just can't get it right ! Lampert learned that ! Big ! Timing is life and most can't time things !
    Malls are signing a few leases,but,UPS an FedX say things are slowing. Look for AMZN and the like to step up the leaders an price cutting and steal more box store business !


    Remember Circuit City ! Well, now the other big electronic stores like Best Buy have become showrooms for the online boys and are slashing big stores. The internet is making many mall stores just showrooms and theyjust sell leaders and lose money ! More stores will fail and some BIG chains will fail in 2012 an 2013 ! tic tic tic
    9 Apr 2012, 06:31 AM Reply Like
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