Old Malls Refuse to Die

Tuesday, June 28th, 2011

Indoor malls have been replaced by open-air lifestyle centers, but the old malls often have good locations — like the Beverly Center, just east of Beverly Hills — and refuse to die:

In general, Taubman Centers’ plan of attack involves going upscale and pressing for stores with high sales per square foot. The mall’s movie theater was recently replaced with the Forever 21 store. In the U.S., theaters get only $95 in sales per square foot, according to the International Council of Shopping Centers. Food courts, at $792 per square foot annually, have higher revenue than restaurants, at $459. Jewelry stores get $887 per square foot, on average, and Mr. Taubman wants more of them at the Beverly Center. He notes that Prada and Tiffany signed leases there in the depths of the recession.

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