{"id":178245,"date":"2025-04-09T05:52:30","date_gmt":"2025-04-09T05:52:30","guid":{"rendered":"https:\/\/peraltafinancing.com\/business\/finance\/beloved-retail-chain-bankruptcy-liquidation-drives-major-change\/"},"modified":"2025-04-09T05:52:30","modified_gmt":"2025-04-09T05:52:30","slug":"beloved-retail-chain-bankruptcy-liquidation-drives-major-change","status":"publish","type":"post","link":"https:\/\/fivemor.com\/?p=178245","title":{"rendered":"Beloved retail chain bankruptcy, liquidation drives major change"},"content":{"rendered":"


\n<\/p>\n

You cannot blame the current round of retail bankruptcies and store closures on declining mall traffic. Malls have generally performed about as well as they have traditionally, so stores have had opportunities to sell to consumers.<\/p>\n

Lackluster sales numbers are not due to a lack of potential customers, and they’re certainly not due to massive growth of the internet. Online sales have held pretty steady at around 16% of the total for the past couple of years.<\/p>\n

Related: After bankruptcy, retail chain liquidates stores, seeks buyer<\/a><\/strong><\/p>\n

In fact, the only time they topped 20% was during the height of the pandemic. Foot traffic and failing malls are a convenient excuse, but not a valid one. So many retailers have failed that malls simply have had to reinvent themselves to stay busy. They’ve largely been successful in doing that. <\/p>\n

“But comparing YoY at average daily visits \u2013 a more accurate analysis of YoY performance when comparing a regular year to a leap year \u2013 reveals that visits to indoor malls and open-air shopping centers held relatively stable in February 2025, despite the sharp drop in consumer confidence. And both mall types outperformed the wider retail YoY average \u2013 highlighting the ongoing resilience of the retail format,” according to data from Placer.ai<\/a>.<\/p>\n

\ud83d\udcb5\ud83d\udcb0<\/strong>Don’t miss the move: Subscribe to TheStreet’s free daily newsletter<\/a><\/strong>\ud83d\udcb0\ud83d\udcb5<\/strong><\/p>\n

The bankruptcy and liquidation of another retail chain, which had a significant mall footprint, will result in further changes to retail in a broader way.<\/p>\n

\n

Forever 21 stores had a large footprint. <\/p>\n

Image source&colon; Bloomberg&sol;Getty<\/a><\/p>\n<\/figcaption><\/figure>\n

Mail retailer’s death frees up space for something new<\/h2>\n

Neha Govindraj is the CEO of Bonside, a firm that provides financing to emerging brick-and-mortar businesses focused on services or experiences \u2014 like fast-casual restaurants, yoga and Pilates studios, and coffee shops. A number of his company’s portfolio businesses \u2013 including JoJo\u2019s Shake Bar and Golf Lounge 18 \u2013 have recently expanded or are in the process of opening new locations in former malls that have been closed and redeveloped into open-air shopping centers.<\/p>\n

More closings:<\/strong><\/p>\n