The department store Macy’s recently announced plans to close 100 stores by early 2017 to focus on improving the retailer’s better-performing locations.
On the radio show, Clark said this is ‘just the beginning’ of the troubles for traditional department stores.
Report: 28 of the most vulnerable Macy’s locations
In addition to online shopping, people are choosing to spend their dollars at smaller shopping centers — not malls — where they can drive right up and park close to the door.
While Macy’s hasn’t revealed which stores will close, there are some early predictions from industry experts.
Morningstar Credit Ratings says it identified 28 Macy’s locations that reported sales that were less than the company’s 2014 national average, which it says puts them at an elevated risk of closing.
Here are the locations mentioned in Morningstar’s report, ranked from lowest sales per square foot to highest:
- Cottonwood Mall — Albuquerque, NM
- Dover Mall and Commons – Dover, DE
- South Towne Center – Sandy, UT
- Lakeland Square Mall – Lakeland, FL
- Friendly Center – Greensboro, NC
- Lakewood Center – Lakewood, CA
- The Shops at Wiregrass — Wesley Chapel, FL
- Crossroads Center — Saint Cloud, MN
- Battlefield Mall — Springfield, MO
- Sangertown Square — New Hartford, NY
- Westfield Trumbull – Trumbull, CT
- Montgomery Mall — North Wales, PA
- Starwood National Mall Portfolio — Plano, TX
- Peachtree Mall – Columbus, GA
- Glenbrook Square — Fort Wayne, IN
- Oglethorpe Mall – Savannah, GA
- Visalia Mall – Visalia, CA
- Willowbrook Mall – Houston, TX
- Town East Mall – Mesquite, TX
- Grand Prairie Outlets — Grand Prairie, TX**
- Bend River Promenade – Bend, OR
- Tucson Mall – Tucson, AZ
- Palouse Mall – Moscow, ID (Update: Closed in April)
- Sunvalley Shopping Center – Concord, CA
- Meadowood Mall – Reno, NV
- Penn Square Mall — Oklahoma City, OK
- The Mall of New Hampshire – Manchester, NH
- Merrimack Premium Outlets – Merrimack, NH**
**Update: These are Bloomingdale’s stores, which are owned by Macy’s.
Before a public announcement is made, Macy’s says it will let employees of the 100 affected locations know about the store closing decisions. Displaced associates may be offered jobs in nearby stores.
Morningstar warns that some malls may have a difficult time finding tenants to replace Macy’s.
In the meantime, Clark says this fall will be “heavily promotional” in the retail industry, which means killer deals through the Christmas shopping season.
Look for especially deep discounts on housewares and clothing.