Retail Apocalypse, Stores Refuse To Pay Rent, 47,000 US Stores Close Many Will Never Exist Again
The craziest part is the fact that many retailers have actually shut down their online presence altogether in case you were thinking stores like Amazon are untouchable. Warehouse problems abound for many including Victoria's secret which has gone dark entirely. Many of the largest retailers in the country have begun to refuse to pay rent after more than 47,000 US stores have closed in under a week. Most Landlords are extremely levered so many of them can't afford to miss rent payments. 2019 was a record year for store closures but that was nothing compared to the retail apocalypse we are seeing now. The Cheesecake Factory is one of the retailers who sent a letter to their landlords proclaiming they will not be paying the rents on their locations due to the fact the business has been shut down, Subway, and the mattress firm are some of the other larger retailers who have been attempting to stall or lower there rent payments. This is sure to ripple through the rest of the economy and many of these retailers including the US malls may be on their last legs. The record store closures we have seen throughout the past few years were as a result of excessive debts. Shuttering all of your locations doesn't change that.