Endangered Species: Suburban Mall

mallrats poster.jpg Six months ago we wondered what would happen if General Growth Properties, the second largest mall operator in the country, filed for bankruptcy.

CNN mentioned the very real possibility of their demise and now, after officially filing for bankruptcy this morning, they have the distinction of being one of the biggest real estate failures in US history and one of the largest failures of a non-financial firm within the current economic meltdown.

The company recently defaulted on loads of mortgages and bonds while trying, unsuccessfully, to sell off at least a few of their properties. There’s speculation as to whether or not other mall companies will buy out the property or take managing control, but as of today, the outlook’s slightly less positive.

We tend to forget about malls, living in New York, but they really are the only way to shop in most suburbs. So has everyone actually given up shopping, are they shopping online, or are retailers just terrified of committing to mall space?

posted by andreakcastillo

Apr 16, 2009 11:40AM

Oh the malls, definitely forgot what that was until I had to work a trunk show at one this past weekend in Brooklyn. I hope they work it out. The suburbs NEED them like a well needs water.

posted by xnoelle25

Apr 16, 2009 11:44AM

Whoever put up the Mallrats pic is officially my hero.

posted by shharvin

Apr 16, 2009 11:52AM

In Houston, malls are really the best place to shop. We have tons of little boutiques, but they're spread out around town and it takes awhile to drive from one to the other. At the Galleria, the biggest mall in Houston, there's a great mix of designer boutiques (we have Fendi, Chanel, Dior, Versace, Louis Vuitton, etc) and lower priced stores you'd find in most malls (Urban Outfitters, American Eagle, etc).

In terms of business, the Galleria is doing really well. I work at the French Connection and we always make our sales goals, as do other stores in the mall. The mall is always insanely busy on the weekend, and people are buying. Because we're a center for the oil industry, I think the recession hasn't hit Houston quite as hard as it has the rest of the country.

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posted by guest

Apr 16, 2009 12:19PM

Best movie!!

Apr 16, 2009 12:31PM

i'm on long island, and all there is is to shop at malls and outlets, unless I want to venture into NYC. I think it's nice having everything in one place though and some of the malls have the high end stores too. and where else would the teenagers go hang out?

posted by etoilee8

I find myself avoiding malls these days because very often I get home only to discover that I've purchased some crap I didn't need. I find them tiring and stressful. I can't find the brands I like in malls (Acne and APC just aren't going to happen, where I live). I get a lot more satisfaction from shopping online from la garconne and such. I stalk the item I want and wait patiently for it to go on sale. Plus, who doesn't love getting packages in the mail?
Though I can't be too hasty about malls. . . I love an outlet mall like Quinn's friends from Daria and I'll forever be an H&M shopper. . . though I fail to see the amusement in them using Vincent Gallo in their ads this spring.

posted by darcykins

Apr 16, 2009 12:43PM

vincent gallo is a hot fashion commodity, and attractive in a less conventional way.
remember his ysl ads a couple seasons ago?

Apr 16, 2009 12:49PM

I know, I know Darcykins . . . I want to like him so badly, but he uses the phrase "negro" in interviews and I'm really not cool with that at all. I know he's trying to make a statement, but it's not a statement, it's stupid and hurtful. It's sort of a poor reflection of H&M.

Apr 16, 2009 2:52PM

etolee8,

I think his use of "negro" is just a reflection of the fact that he's an old guy trying to be politically correct. it's totally awkward, though.

Apr 16, 2009 2:58PM

Lots of stores have been opening up recently in our major malls in upstate NY. It really depends on where you live.

Apr 16, 2009 3:41PM

etoilee8,
don't get me wrong, i don't like him and i don't think i would ever be friends with him or anything.
he's far to conservative/republican and un-pc in a non-ironic way.
and i don't think you should like him.

but i think he has a good look.

Apr 16, 2009 4:24PM

the mall is dead. every mall in america has the same stores with the same stuff. yawn.............

Apr 16, 2009 10:58PM

Darcykins, am acquaintance of mine met him at a diner in nyc. He said he was surprisingly humble, quiet and nice. I get the feeling it's really all an act. An obnoxious act.

Shharvin I'm not buying the "he's old" deal. He is old enough to know not to use that word. He's hip and culturally educated . . . surely that bit of news didn't pass him by. I think he said it to be "ironic". I wonder if I could claim "irony", if I called him a "greasy perv".

Anyways, we have gone and single handedly turned this mall article into a Vincent Gallo discussion. The man loves attention and he would eat this up with a spoon. Either way, I still raise my eyebrows to H&M in a "what the hell has gotten into you?" manner. He may have a good look but it doesn't make up for his obnoxious manner. And when someone picks someone to represent their brand, they should consider these things.

posted by neenersh

Apr 20, 2009 4:17PM

I go every week! I live in an LA suburb and I NEED the mall! One of the malls in "the valley" (san franando valley in CA) has the second largest Nordstrom in the country and I will be very sad if it goes...