What's a good use for empty malls?
Today Bloomberg reports that US retail vacancies are at a 10-year high.
April 8 (Bloomberg) -- Vacancies at U.S. mallsand shopping centers rose to their highest in more than 10 years as consumer spending fell and stores closed in the recession, according to first-quarter data released today by Reis Inc.
More empty stores and lower rents are ahead “unless conditions change dramatically,” said Victor Calanog, director of research at the New York-based real estate research firm. He forecast the declines would last through next year.
“This outlook assumes positive job growth and an increase in consumer spending beginning in early 2010,” Calanog said in a statement.
Now, I don't think we'll see a magical return to the boom times of 1980-2008 in 2010. There's not even a chance of it until 2011. What are the best uses for these empty, non-sales tax generating mall spaces in urban, suburban and exurban cities?
Suggestions for Empty Mall Uses:
(a) CHEAP Housing: true mixed-use -- integrated with retail and jobs. America - especially California - lacks cheap housing, not housing itself.
(b) Lower-rent space for non-profits, federal government agencies, local city government offices, "satellite" police substations, city government maintained "community centers"
(c) Free rent art gallery/art class spaces
(d) Repair shops for clothing/shoes, electronics (People are buying fewer goods now, and fixing what they already have)
(e) Lower-rent space for trustworthy local banks and credit unions
(f) Religious spaces: churches, shrines, mosques, synagogues
(g) Renewable Energy power centers? Far-fetched perhaps.
What empty mall spaces should not become:
(a) office/commercial space -- because businesses are closing and laying off staffs
(b) farming/gardening plots, unless on roofs, because these are indoors
(c) jails -- we have the highest rate of incarceration in the world already; this would be expensive and blighting
What do you think?
Please post your ideas in the comments.
