Study Forecasts Thousands Of Store Closures As Malls Become Obsolete
SAN FRANCISCO (CBS SF) -- The American shopping mall could become a thing of the past in the not so distant future.
A new report by the bank and investment company Credit Suisse predicts one out of every four shopping malls in the United States will go out of business by the year 2022.
That translates to roughly 220 to 275 shopping centers.
It's estimated that in 2017 alone, some 8,600 stores will close.
According to Credit Suisse, "Barely a quarter into 2017, year-to-date retail store closings have already surpassed those of 2008."
The main reason the study cites for the decline comes from the upsurge in online shopping.
Just last week, high-end brand Michael Kors announced it was shuttering 125 of its stores.
Experts say there is a retail bubble -- too many stores opened after years of mall construction.
