October 26, 2015
Chinese Malls Hit With Low Traffic, Rising Vacancies, Plunging Rent, Massive Overcapacity
Reuters asks Why are Chinese Malls Closing if Consumption is Rising? Rising vacancy rates and plummeting rents are increasingly common in Chinese malls and department stores, despite official data showing a sharp rebound in retail sales that helped the world’s second-largest economy beat expectations in the third quarter. The answer to that apparent contradiction lies in the rising competition from online shopping and government purchases possibly boosting retail statistics.