While fewer and fewer Americans head to the malls.
They spent a record amount more at bars & restaurants than at food & beverage stores, which tells us something about our drunken sailors.
CRE debt keeps on giving. Retail CMBS have been a bloodbath for years. Thankfully, banks largely not on the hook.
They partied most at Restaurants & Bars, and at ecommerce retailers. If I hear one more time consumers are “tapped out,” I’m going to scream.
But the 26% plunge in gasoline prices hit gas stations. The pandemic home-remodeling & furnishing boom is over. Ecommerce keeps killing department stores.
But ecommerce sales continue to soar, despite price drops.
Default rate of mall CMBS rose to 7%. Simon Property Group, largest mall landlord, walked from malls for years. Tens of thousands of stores closed. Ecommerce is killing them one by one, not San Francisco.
Walmart U.S. gave us some color: ecommerce sales +27%; grocery sales +12%; non-grocery brick-and-mortar sales -10%.
Dropping prices cause dollar-sales to drop even if unit sales rise. Home Depot today blamed part of its revenue decline on lower prices.
Brick-and-Mortar Meltdown Continues. Revenues Collapsed by 55% since 2017: Share buybacks and Ecommerce killed it.