Sunday, September 5, 2010

Mall To Close: Put A Fence Around It, Until The Economy Picks Up

REDLANDS - Redlands Mall tenants - about six in all - received a letter dated Aug. 2 informing them their leases were being terminated and they need to exit their stores by the close of business Sept. 30. Thereafter, the Redlands Mall will be closed. "They (GGP representatives) came in and told us that they're out of bankruptcy and things were going to look good and then the next thing we know they come in and say they're closing the mall," store owner Wes Hayden said Friday. Hayden is owner of three stores in the mall: Eyeware Specialist, Rittman's Tuxedo and Hayden-Brothers Coffee.
When reached Thursday, David Keating, vice president of Corporate Communications for GGP said that the Redlands Mall will fall under Spinco, a subsidiary company that was created as GGP moves back into business. He stressed that Spinco will not abandon or neglect its properties. He did not mention the closure.
But the mall business owners said they have been told a very different story.
"They said they're going to put a fence around it until the economy picks up," Hayden said. "Why would you blight a city like this by putting a fence around the mall. We're not a prison."


  1. I was trying to get the rest of the mall story but I keep getting a google blogger sign-up site. Not sure what's going on.

    The idea that the mall would throw out the remaining tenants seems crazy. But maybe it's costing the mall more to keep the whole place open?

    As for reality in economics, you certainly can't get that by watching CNBC, Bloomberg, and Fox Business. Their agenda is to get you to put your money in the stock market--not to tell you the truth. If you understood what a gambling casino it is, you'd stay far away.

  2. Lived in the area and it's dying...All the crap from LA moved east to get away from gangs...Guess what?...They just spread it.

    1/3 of San Benardino is on government aid...Only stores making it are family run ones because they work non-paid hours in order to keep it going.

    We're going back to times of mom and pop places as big stores are too fat and have too much overhead.

    Problem is there isn't enough jobs and business for mom and pop places.

    So in other words..."We're fucked."

  3. Demographics and race, a taboo subject that plays a HUGE role in the economy. The fact is that gang violence or even a thuggish atmosphere kills malls. I expect my local mall, Tacoma [Washington] Mall, to die fairly soon, and the same with Southcenter Mall near the SeaTac airport, both of which are in disputed gang areas and both of which have experienced shootings and/or murders. For many people, they'll never set foot in either mall ever again. Ignore demographics at your own peril.

  4. The commercial building boom was nothing more than a movie set. Just like in Hollyweird, it gives you the effect, but you know inside it is all faked for your entertainment and to grab your money.

  5. These shops often sold and made their profits on selling imported goods from the third world with profits made on mark up of prices on the goods that were made on near slave labor rates of pay.
    Profits were great in recent years.
    But it was all fueled by credit. often these stores were no more than agents arranging credit and time payments for their customers.
    Many were fronts sales offices for finance capital usury and marketers for the credit card companies.
    Their profit margins in the competition for retail sales are being squeezed.
    The illusion was the profits they made , markup profits from prices were given to the shops by the consumers and not the profits created in manufacture by exploiting the third world labor.
    The dollar hegemony system in world trade and finance ,from oil to Chinese goods subsidized America and its consumers and even provided foreign vendor financing for the purchase of these goodies and housing mortgages on credit too . Propping up the value and demand for the dollar.
    America became a giant unproductive Ponzi economy with serial bubble creation to fuel foreign and speculative investment in the US like the beat up of the dot com bubble and then the housing bubble.
    Middle class investors could even use their speculation in housing mortgages to borrow against the value of these housing investments using the house as an ATM.
    In the end ,America and Americans took on so much debts for housing, credit cards ,student loans etc. etc . that they could not keep up with their interest payments and like any Ponzi scheme it all came to a bad end. Just like those of the Maddof ponzi only a small part of the scams on a international scale.
    Credit has already been maxed out by Americans , and foreign credit supply is being cut ,such as Chinese purchases of Treasury and Fannie and Freddie bonds the great ponzi imploded after the sub –prime crash and the shutdown of the international money/credit supply markets .
    Even after a financial coup and bailout of the Ponzi .the unemployed lose their incomes to spend and those on food stamps cannot buy to much exept daily necessities the old profit levels on sales and share in the shrinking market ,especially in the turnover of goods cannot be maintained ,even by selling goods at near slave level labor costs and price markups.
    As the US economy has been de-industrialized these goods cannot be manufactured by high waged US labor and sold at a profit.
    So it is inevitable that these small shops and the jobs of their workers will gp
    and a lot more yet will close down.
    The dollar hegemony is dying and with it consumer credit for retail sales creating dead shopping malls too . Printing money by an inexhaustible printing press to issue more debt ,cannot create new real value and the ability of money to improve the velocity of sales turnover is disappearing in the flood of paper so the banks and business will not invest more capital.
    The only profits to be made in America is by looting the accumulated assets of the middle class.
    Dead shopping mall ponzi economy ,insolvant consumers that have maxed out credit=dead shopping malls

  6. Malls causes people to spend more money then they would have normally spent, because of the amount of stores to browse and food places. With the recession/depression people do not have that extra money to throw around. The malls are a dying breed.

  7. The good news!
    the government debt clock at the bottom of the page is fast approaching 13 1/2 trillion mark.

    Will this good news create a party on wall st and stimulate another upward surge in the stock exchange index?
    you can invest in this marvelous debt creation by buying treasury bonds.

    All patriots with faith in america should invest now in both the shares and Treasury bonds as well municipal and state bonds to keep the boom recovery of profits on track .

  8. US's GDP is $14 trillions and the debt is $13.5 trillions. if history is any indication, no nations have ever economically recover from this high debt to GDP ratio. USA is pretty much dead. what we have today is just remnant of declining once great USA

  9. Statistics for your Labor's Day to ponder on.
    Average Chinese worker salary is $135 a month. Average American worker salary is $2250 a month ($27000 a year).
    China has huge cheap labor force. No wonder multinational corporation is outsourcing to China.

  10. I see the opposite! Mom and Pop shops are getting destroyed. Sure some chains are failing but as a whole, small business is dying before our eyes. This mall was dead on arrival and has been for years. The community is very nice and is not considered san bernardino. Its like comparing san dimas to watts!
    San Bernardino is an absolute shithole! I see problems starting there if it ever gets really bad. You could drive and see the pain on their faces and the place didnt have much of a turnaround during the boom times. The schooling is horrific as well as the government recipients.
    The San Bernardino Carasoul mall should have been closed first. Look on that place is a nightmare. I believe its in the running for a new dawn of the dead movie.

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