I watch a lot of Dead Mall videos on YouTube and I wanted to see what everyone’s thoughts are on why there’s so many dead malls now.
This is a fascinating question. I don’t think it was just Amazon either. Although the price undercutting definitely helped.
Like many others here, I remember malls having lots of cool smaller shops with various specialties. Toys, books, electronics, games, clothes, decor, whatever. It’s where you’d find more niche things.
Like if “Spencer’s Gifts” wasn’t 99% raunchy sex stuff now. (Although hey, there was that too.)
It was funny in the 90’s watching this idea of teenage girls coming back with a multi-bag haul from a mall run. Ha! Not anymore.
Nowadays though, in my big metropolitan area malls are doing okay, but you get two classes generally:
- Run down, sketchy malls, with stores that can’t afford to decorate their storefront but they’ll have weird stuff like wall-hanger katanas and other almost-weaponry alongside dragon statues and glass pipes and stuff. Stores like this are punctuated by pushy kiosks that try to sell you snake oil.
These malls are still kinda hanging on. The ones here are trying to do cool things like theaters and experiences. I think it can be a cool place for fledgling businesses to do more experimental stuff. Unfortunately, the said-sketchiness still makes them a bit unappealing to visit.
- Bougie malls, more numerous here. Every one is a clone because it features the exact same fashion-brand super-empires. And no, your working-class butt isn’t their target audience. Keep moving, because they removed the benches too. Along the way, you will still be harassed by pushy kiosks, but the snake oil is in much fancier packaging!
Each individual suite has like 15 items on display that cost more than the suited foot-aching sales person makes in 6 months before taxes.
I have no idea how these places are still running. Lol
It was always short sighted tax policy. We’re just living with the blowback.
But in 1954, apparently intending to stimulate capital investment in manufacturing in order to counter a mild recession, Congress replaced the straight-line approach with “accelerated depreciation,” which enabled owners to take huge deductions in the early years of a project’s life. This, Hanchett says, “transformed real-estate development into a lucrative ‘tax shelter.’ An investor making a profit from rental of a new building usually avoided all taxes on that income, since the ‘loss’ from depreciation canceled it out. And when the depreciation exceeded profits from the building itself—as it virtually always did in early years—the investor could use the excess ‘loss’ to cut other income taxes.” With realestate values going up during the 1950s and ’60s, savvy investors “could build a structure, claim ‘losses’ for several years while enjoying tax-free income, then sell the project for more than they had originally invested.”
Since the “accelerated depreciation” rule did not apply to renovation of existing buildings, investors “now looked away from established downtowns, where vacant land was scarce and new construction difficult,” Hanchett says. "Instead, they rushed to put their money into projects at the suburban fringe—especially into shopping centers.
http://archive.wilsonquarterly.com/in-essence/why-america-got-malled
That’s really interesting! I’d heard the white flight explanation for downtowns falling apart, but this adds a new layer to it
our mall had an arcade, a waldenbooks, and a kiosk that sold gorgeous glass dragon figures.
can’t get any of those at amazon.
i miss it. :(
Dang, I kind of want one of those glass dragons. That sounds awesome
I long for third spaces.
The mall is an ouroboros that demands I spend. But if it had a park combined with it, if it was just a series of semi-connected strip malls around a central or spread out park/walking path I’d be there constantly.
The mall just isn’t a enjoyable place to hang out unless you truly have no other choice, and even teenagers who don’t are opting to hang online because it’s less expensive and doesn’t require transit.
Yes! I’m amazed at how few responses here bring up the lack of attraction in a mall. Nearly every square foot has been given up for dumb kiosks for cell phone cases or something like that. There’s just nothing to give some warm fuzzies about visiting - a water feature, a kids play area… Heck, I grew up the first indoor mall and at one point they had a giant parakeet cage. If one landed on your finger, you could keep the bird.
When I was a teenager the local mall made it quite clear that they didn’t want teenagers in the mall. I think it just stuck for a lot of us.
The mall near me used to be a place where kids could get together even if they didn’t have money to spend all day buying things. They made a rule that young people in groups of more than 3 would be treated like a gang. I have no sympathy for them losing patrons.
Amazon did more for killing off small businesses – the big box store chains did more for killing off shopping malls (their preference is the strip mall where they can showcase their entire frontage (and do an end-run around building codes))
and yes, everyone is too broke on top of everything else
I remember hearing that big box stores killed malls. I thought they killed malls, and Amazon killed big box stores, but Amazon can also kill malls, so it was a bit of a double-whammy for malls
The rise of the suburban mall and its downward spiral are pre-Amazon, and largely had to do with tax decisions and costs to the public sector, though online shopping did accelerate the collapse. Slate, 2017: The Retail Apocalypse Is Suburban
I’d like to think it was a combination of all the online shopping sites for all your non-groceries that started killing them off.
Why go to a mall to buy that hat you always wanted when it’s not only available online on the website of wherever you are planning to go but could be cheaper? That, or just buy it on Am*zon.
That, and I firmly believe people in various first world countries have gotten lazy enough that they’ll gladly wait the however long it takes for something to arrive by mail, but spending the time to have to drive somewhere and walk from the parking lot to wherever in the mall the store they want is? Haell Nah! Combine that with inflation (meaning higher gas prices) and you have people not going to malls unless they have to.
It’s why surviving US malls usually have something to keep them alive to attract people anymore, I swear. Some sort of gimmick like that one well known mall with the amusement park in it or how the mall near where I live has an aquarium in it (never been, so I don’t know how effective it is at attracting people). I don’t think the restaurants you’ll find in malls are even enough to attract enough people keep malls afloat, either, but I could be dead wrong about that one.
Speaking from an outside perspective; malls (what we call shopping centres) in Australia didn’t die anywhere near what has happened in the US. We have a very different geographic landscape (hyper-concentration of population in city centres) and definitely don’t have the same level of penetration that companies like Amazon do, but we have shared a lot of the same economic headwinds that the US has. From my armchair perspective, this would generally suggest that it’s less to do with economic position and more to do with idiosyncrasies of the US, but I have absolutely no data to back that up.
We have shopping centers in the US and a lot of them are still thriving. They tend to be smaller than malls but they’re more numerous. They usually have one or two big stores like Target or Home Depot along with several smaller stores. They’re also not enclosed so it’s easier to get to a small store in a shopping center than it is in a mall.
That’s really interesting! In the Australian content, we would only ever call a strip of shops a ‘mall’ if they weren’t connected by some interior structure. In fact, our ‘malls’ are almost all outdoor connections of shops. So interesting how our vocabularies vary!
As someone who lives through the height of the mall era I’m sad to see the go personally. However before online shopping it was sort of a pain in the ass. Not only did you have to go to the mall for clothes shopping sometimes you would have to go to more than one. I remember school clothes shopping would be a multi day affair to buy some jeans and shirts and a pair of shoes. If the mall didn’t have the store you needed you would sometimes have to drive really far to go to that store. If the mall didn’t have what you needed you were sort of SOL. So when online shopping started to provide anything you want in a few clicks it was not just the hard to obtain stuff people bought it was everything else too. But it’s sad so many teenage sagas played out in malls for me. Friendships were solidified and dating occured there. It was a place you could hang out for a few hours with no parents and navigate teenage social life. I am sure teens will just do something else but it holds a special place in my memory.
City Beautiful made a video video on the subject.
Great video thank you!
Anecdotal, but I grew up in the heyday of malls and my local mall was one of the largest, and is now one of the most famous dead malls. The mall was in decline when Amazon was still in its infancy, mostly still selling books. Buying clothes online was considered lunacy at the time because there was no fitting rooms to try things on. Still, vacancy was on the rise in the mall and once a few violent crimes started happening inside that was all she wrote. “Big Box” stores like Walmart became more of a draw than driving all the way to the mall.
I think the reasons for the death of the mall are more complex, just like the death of the department store. There were lots of weird tax incentives, both for developers, and for (mostly white) residents fleeing the urban core during the 90s. Those were not sustainable. Malls themselves were a bit of a private equity shell game which couldn’t last. The story of dead malls is more about capitalism and land use policy than just Amazon.
I’ll never forget Forest Fair Mall in those first years though. It’s 1.5 MILLION square feet, and it was absolutely packed, especially during Christmas. Humongous fountains, sand sculptures, live music… every single spot of it’s airfield-like parking lot was full. The only thing today that I think comes close, if younger people want the experience, is the main concourse of a top ten airport.
I think the West Edmonton Mall comes pretty close at 5.3 million square feet. I remember seeing dolphins in there.
The West Edmonton Mall used to have more submarines than the Canadian navy. I think that was before the dolphins though.
West Ed is still dope. I don’t know about submarines, but they have a 10/10 water park in there, and a bunch of other stuff.
My favorite stores in the mall in the 80s and early 90s were the Electronics Boutique, Waldenbooks, Tape World or Sam Goody, and Sharper Image. None of those thing exist anymore. When I go to the mall now, it’s 90% clothes and jewelry, and I’m just not that interested in it.
My kids like the rock/skate shops like B&C, Hot Topic, Zumiez, Vans… but it’s still just basically clothes.
Indoor malls have been on the way out for a while. They’re large Indoor spaces that need to be heated or cooled and attract young people with no money and nowhere to go. Also in a mall you only buy so much as you tired of carrying it around. An outdoor Plaza encourages people to go back to their car and unload.
I think it is safe to say, the internet i general killed malls as people stopped leaving their homes the way they used to in general.
