From Vibrancy to Vacancy
I hate shopping. I hate crowds. I hate malls. I don’t believe I had entered a mall in over a decade, until Monday. My visit to the once vibrant Montgomery Mall in Montgomeryville, PA was a shocking confirmation of what I had been predicting about retail stores since 2008. Next to the term Dead Mall in the dictionary should be a picture of the current version of the Montgomery Mall. If you need visual proof, here is brief video showing how it is deader than ever.
We didn’t go to the mall to shop. My wife bought me a watch from Macy’s (online purchase) for Christmas. I haven’t worn a watch in over a decade and now that I’m retired, have no need for a watch. So we were going to get a refund and then walk around the mall for some exercise, because the weather outside is bitterly cold. The Mall had three anchor stores: Macy’s, JC Penney, and Sears. The Sears closed in 2020. JC Penney declared Chapter 11 bankruptcy in 2021, but still operates as a zombie like entity on the opposite end of the mall from Macy’s. Macy’s hasn’t declared bankruptcy yet, but their business plan appears to be closing 50 to 100 stores per year, until there are none left.
We arrived at the Macy’s at about 11:00 am on MLK day. Ghost town USA. The few employees we saw outnumbered the customers. A store filled with jewelry, clothes, shoes, and other useless crap had no customers. It took us ten minutes to find someone who could process a return. Both Macy’s and JC Penney are clearly in an extend and pretend phase. The entire pitiful mall is pretending to be viable, when it is clearly deceased. What a far cry from its heyday – 1977 until approximately 2007. With three rambunctious boys, my wife spent many days at this mall trying to wear them out. When they were teenagers, I would drop them off on Friday nights so they could cruise around the mall with their friends. Those days are long gone.
The two story Montgomery Mall, with 1.1 million square feet of retail space, was built in 1977 by Kravco. Before smart phones, social media and online ordering, malls were the place to go for shopping mothers and teenagers escaping from their parents clutches. Malls were swarming with people, because they were convenient and accessible. They were the mecca of consumerism, enabled by the all powerful credit card. I have lived in Montgomery County since 1990, with three malls encircling me: The Plymouth Meeting Mall, where my employer’s first store in the U.S. (IKEA) and their headquarters were located; The Montgomery Mall; and the king of all malls in King of Prussia.
At its peak, the Montgomery Mall had over 90 stores/eateries. Major tenants, excluding their anchors, included: H&M, Disney Store, Uniqlo, Boscovs, Tweeter, Dick’s Sporting Goods, Strawbridge’s, and dozens of the usual smaller mall outlets. The bustling food court consisting of Chick-fil-a, McDonalds, Sbarro, Subway, and a Chinese place met all the healthy eating requirements. Yesterday, the number of occupied outlets totaled less than 15. It was a pitiful mixture of dynamite retail juggernauts like Cell Phone Care, Dilshal Halal Cuisine, Montgomery Dental, a pop-up Spirit Halloween store, and a mixture of wireless and jewelry repair stores. I think a store selling Vacancy signs would best suit this nearly dead mall.
The death of this now obsolete mecca of consumerism can be blamed on clueless corporate executives, devious developers, feckless bankers, and technology. The beginning of the downfall can be traced to the acquisition of the mall by Simon Property Group in 2003. These corporate raiders use the legal system to organize their holdings in such a way that they can take on massive leverage, pillage the asset, not repay the debt, and walk away virtually unscathed, like they did in 2021 when the mall was foreclosed upon with a $119 judgment against Simon. Simon Property Group is still a thriving entity, with their stock near an all-time high of $184 per share, because they gate off each of their mall entities so they can go bankrupt and not affect the parent company. Ain’t America great?
The bank sold the stinking, rotting carcass of this beached 1.1 million square foot retail whale to Kohan Retail Investment Group for $55 million in 2021. When you buy a mall for $50 per square foot and still can’t make a profit, you got yourself a dead mall. Kohan has been referred to as “the last owner a mall sees”, investing little in the malls it purchases and allowing mall facilities to deteriorate while trying to sell off out parcels to restaurants and grocery stores. Dead and deteriorating is the correct description of the Montgomery Mall. As we walked around this dank, depressing hulk of cement and glass, my “glass half full” wife suggested they only needed to get a few good tenants to start reviving the mall. I reacted like the clown in Seinfeld when George couldn’t believe he had never heard of Bozo. Malls are either dead or dying. There is no coming back.
I guess I should feel vindicated as I had written dozens of articles about the downfall of retailers and malls since I began writing in 2008, including: Ghost Malls: Coming to Your Town (2008), Extend and Pretend Coming to an End (2012), Available (2013), Retail Death Rattle Grows Louder (2014), Will Sears Survive Until Christmas (2016). The Covid scamdemic put the final nail in the coffin of the Montgomery Mall, and the rise of Amazon and all online retailing put the coffin in the ground.
By purposely killing malls, they forced more retail online, with only electronic payment as an option. Wait until they institute their CBDCs and then can control your ability to purchase based upon your social credit score. Just observe what is happening in Davos to see your dystopian future. AI will tell you what to buy. Hell, it will buy it for you without asking whether you wanted it at all. No need to think, freedom to choose, or ability to say no.
I see the death of the Montgomery Mall and hundreds of other malls across this land of plenty (of debt) as a metaphor for the imminent death of this American Empire of Debt. The bigger things get, the worse they get. With or without physical malls, credit card debt has risen from $600 billion in 2000 to almost $1.3 trillion today. Meanwhile, the national debt grew from $5.6 trillion in 2000 to $38.5 trillion today. The average American goes deeper into debt each day, as the American empire adds $5 billion of debt each day.
Our cities and infrastructure deteriorate and decay (just like these dead malls), while financial wizards think up new ways to rape and pillage what remains of the national treasury. It’s all a Potemkin facade, propped up by never ending issuance of debt, ceaseless propaganda, increasing surveillance state authoritarianism, and no way out. Mall owners (with their bank partners) have been extending and pretending for over two decades. Our country has been doing the same since 2008. But, eventually the jig is up. The current faux foreign conflicts are designed by the powers that be to distract from the intractable domestic financial disaster coming down the track.
https://www.theburningplatform.com/2026/01/21/from-vibrancy-to-vacancy-going-going-gone