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The Wall Street Journal

The New Retail Tenant: A High-Tech Amusement Park

The New Retail Tenant: A High-Tech Amusement Park

As traditional retailers close their doors, immersive attractions are stepping in to fill the surplus real estate

  • August 22, 2018
  • min read

The Wall Street Journal

The New Retail Tenant: A High-Tech Amusement Park

Battered by online shopping and millennials’ changing consumption habits, traditional malls are suffering. Mall vacancy rate hit 8.6% in the second quarter of 2018, the highest since 2012, according to data from real-estate research firm Reis Inc. Malls have resorted to leasing space to offices, churches and gyms to lure foot traffic.

But according to some retail experts and real-estate developers, reports of the mall’s impending death have been exaggerated. Top malls in desirable locations continue to attract tenants willing to pay high rents. “There’s a myth out there that historical retail is dead or dying or will die soon,” said Mikey Vu, a partner with Bain & Company. “We just don’t think that’s true.” While many Americans get their toilet paper and milk delivered, they still want to gather in physical spaces and for meals and entertainment. 

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