Publication | ThinkSet, issue 1
Fallout from Retail Stores Worldwide on ‘Final Sale’
Yet some assets remain at full price as retailers close
Bargain basements are opening up all across the retail sector—only the shoppers aren’t price-conscious consumers. The buyers are savvy investors, real-estate developers, private equity firms and hedge funds looking to profit from store closures and the mall’s decline.
For years, retailers conditioned shoppers to wait for discounts, often until liquidation sales when ‘’everything must go.’’ Now it’s the other way around. The biggest deals are in real estate, distressed brand intellectual property and credit card portfolios.
Retailing is undergoing a phase of creative destruction: Adverse demographics and delivery of online options are squeezing traditional business models and extinguishing jobs, even as the US and world economies grow at a moderate pace.