Retailers Closing Stores

Big Name retailers expected to close 2.2K to 2.7K stores in 2013

In one sense big box retail stores seem a clumsy way to buy things, much of which can be bought online. But this year after year mass closing still makes me feel bad for our cities.

Total Name Low to High
4,471 Gamestop 500 to 600
4,412 RadioShack 450 to 550
1,100 JCPenney 300 to 350
1,056 Best Buy 200 to 250
689 Barnes & Noble 190 to 240
872 OfficeMax 150 to 175
1,114 Office Depot 125 to 150
2,118 Kmart 175 to 225
^^^ Sears 100 to 125
15,832 Total Closing 2,190 to 2,665

Closings might have been much more but often such stores are anchors in a shopping center and subject to various laws and agreements that make closing them a more complex issue than the simple bottom line.

The escalating problem is the erosion of the tax base ... what is the tax roll value for empty real estate?

Quote: Fleastiff

The escalating problem is the erosion of the tax base ... what is the tax roll value for empty real estate?

Higher taxes so more stores close.

Some on the list, like K-Mart and Best Buy, died years ago but nobody bothered to let them know.

IMHO there will always be a need for stores and big stores. Online doesn't do it all. If I need something TODAY, or if I want to buy a variety at once looking at and feeling what I buy I go to the store. Or, another way, if I need a pair of pants I go to the store, if I need a part for my laptop I go online. If I want a tomato plant to plop in the ground I go to The Home Depot in spring. If I want heirloom seeds for an unusual variety I go online.

K-Mart is dead because their stores are crappy. I was in two yesteraday to pick up some Field Agent(R) work while I killed time before a family function. Just plain bad mercahndising. Radio Shack needs to rebrand. They used to be a place for parts for anything. Last time I was there I needed to get a plug for a laptop. $100+. I laughed at the clerk and said that was nuts, a new computer was $400. Then I looked on eBay, $15!

BTW: I don't feel bad fopr the cities. Wal-Mart tries to open and people try to drive them away. Chicago told Chick-Fil-A (restaurant not retail, but still) they would not be allowed to open because, well, the mayor didn't like their politics.

Quote: AZDuffman

IMHO there will always be a need for stores and big stores. Online doesn't do it all. If I need something TODAY, or if I want to buy a variety at once looking at and feeling what I buy I go to the store.

I wonder how many kinds of stores we'll end up with. It seems like everyone sells groceries anymore (drug stores, Walmart, Kmart, etc).

7,651 Walgreen Deerfield, Ill.
7,345 CVS Caremark Woonsocket, R.I.
4,664 Rite Aid Camp Hill, Pa.

5,480 RadioShack Fort Worth, Texas
4,650 True Value Chicago
4,507 AutoZone Memphis
4,455 GameStop Grapevine, Texas
4,423 Wal-Mart Bentonville, Ark.
4,072 Ace Hardware Oak Brook, Ill.
3,740 O'Reilly Automotive Springfield, Mo.
3,636 Advance Auto Parts Roanoke, Va.
3,489 Sears Holdings Hoffman Estates, Ill.
3,326 Sherwin-Williams Cleveland
2,850 Health Mart Systems Omaha, Neb.
2,623 Limited Brands Columbus, Ohio
2,476 Foot Locker New York
2,436 Gap San Francisco, Calif.
2,330 Verizon Wireless Basking Ridge, N.J.
2,300 AT&T Wireless Dallas
2,212 TJX Framingham, Mass.
1,963 The Home Depot Atlanta
1,763 Target Minneapolis
1,712 Lowe's Mooresville, N.C.
1,583 Staples Framingham, Mass.
1,451 Big Lots Columbus, Ohio
1,443 Best Buy Richfield, Minn.
1,335 Brinker International Dallas
1,330 Barnes & Noble New York
1,159 PetSmart Phoenix, Ariz.
1,143 Bed Bath & Beyond Union, N.J.
1,127 Kohl's Menomonee Falls, Wis.
1,125 Office Depot Boca Raton, Fla.
1,124 Ross Stores Pleasanton, Calif.
1,109 Michaels Stores Irving, Texas
1,105 J.C. Penney Plano, Texas
1,085 Tractor Supply Co. Brentwood, Tenn.
881 OfficeMax Naperville, Ill.
871 Toys "R" Us Wayne, N.J.
840 Macy's Cincinnati
756 Ahold USA / Royal Ahold Washington, D.C.
561 Dick's Sporting Goods Coraopolis, Pa.
477 Burlington Coat Factory Burlington, N.J.
460 The Sports Authority Englewood, Colo.
425 Costco Issaquah, Wash.
406 Giant Eagle O'Hara Township, Pa.
304 Dillard's Little Rock, Ark.
303 Belk Charlotte, N.C.
262 Menard Eau Claire, Wis.
245 Apple Stores / iTunes Cupertino, Calif.
225 Nordstrom Seattle
197 Meijer Grand Rapids, Mich.
196 BJ's Wholesale Club Westborough, Mass.
181 Army Air Force Exchange Dallas
180 Defense Commissary Agcy. Fort Lee, Va.
167 Stater Bros. Holdings San Bernardino, Calif.
142 Raley's W. Sacramento, Calif.
77 Neiman Marcus Dallas
38 IKEA North America Conshohocken, Pa.

Quote: whatme

Higher taxes so more stores close.

With what natural progression?
People who open up a business, do so in cyberspace. If they open up in a physical space, what sort of a business is it? Used comic books? Restaurants (some shopping centers seem to have nothing but food places, they don't want any more)? Thrift stores? Dollar Stores? I see things closing but not opening except as yet another restaurant that can't make a go of it.

Quote: Pacomartin

I wonder how many kinds of stores we'll end up with. It seems like everyone sells groceries anymore (drug stores, Walmart, Kmart, etc).

The thing seems to be that shopping for entertainment just isn't what it used to be. WMT and others have a bunch of made-in-china junk on display. Malls do not have the smaller-stores of years past to cruise through. If you want to see more interesting items you go online. Then add in that more and more of your disposable income is disposed of in the way of your cell phone, cable, online access, and other things that less reason to shop.

Quote: Fleastiff

With what natural progression?
People who open up a business, do so in cyberspace. If they open up in a physical space, what sort of a business is it? Used comic books? Restaurants (some shopping centers seem to have nothing but food places, they don't want any more)? Thrift stores? Dollar Stores? I see things closing but not opening except as yet another restaurant that can't make a go of it.

When it comes to rental property a general rule is that the property tax is based on rental income. This is why politicians love bars, restaurants, medical offices as they have high rents.

Restaurants are some of the worst investments any one can make, a joke about it is: If you want to lose a million open a restaurant, If you want to lose it 1 sec faster go to a casino. lol,

I for one see many more brick and mortar stores closing, and can't see all that much taking it's place.

Quote: AZDuffman

WMT and others have a bunch of made-in-china junk on display.

Chinese dry wall, Chinese pet food, Chinese pharmaceuticals ... I wonder if all those plates, utensils, towels and clothing will eventually get recognized as contaminated?

Quote: Fleastiff

Chinese dry wall, Chinese pet food, Chinese pharmaceuticals ... I wonder if all those plates, utensils, towels and clothing will eventually get recognized as contaminated?

Some things are hard to screw up. And sometimes a cheap item is what is needed. But one thing driving me crazy the past few years is how in love Americans are with cheap junk. I've made a effort to buy USA/EU tools and supplies during my home remodel. And trying to live a less-but-better minimalist lifestyle. Not easy but not impossible.