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Mall operators are filing for bankruptcy before the holidays

EditorCBS NewsNovember 3, 2020

Two mall operators filed for bankruptcy protection Monday, hurt by the ripple effect of the coronavirus pandemic which has forced many of its mall tenants to permanently close stores or not pay rent.

Both companies, CBL and Pennsylvania Real Estate Investment Trust, said their malls will remain open as they go through the bankruptcy process.

Even before the coronavirus-induced store closures, malls struggled to attract customers who were increasingly shopping online. The pandemic forced many malls and their retail tenants to temporarily close for months. Mall tenants, which operators rely on for rent, have been stressed this year. Some are going bankrupt and closing stores, such as J.C. Penney and California Pizza Kitchen.

The mall bankruptcies come weeks before a crucial holiday shopping season. With coronavirus cases rising, malls will need to limit crowds during what is traditionally their busiest …continued .
[Source: CBS News]

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