ClickCease
MARKETS

American Dream Mall Opening Its Doors Amid COVID-19 Shocks

The much-awaited American Dream Mall is set to open its doors to the public and brands at a time when the retail landscape is facing its biggest test due to the COVID-19 pandemic. The project, located in New Jersey Meadowlands, has taken 17-years to come to completion. However, it now faces a long way before it achieves its status as the world’s greatest shopping, dining, and entertainment destination.

Low Tenancy Concerns

Built to accommodate up to 300 retail stores, the mall is unlikely to enjoy full capacity when it opens its doors. The number of tenants that will be operational is likely to be below par, amid a decline in traffic to shopping malls that has forced many brands to shut down retail outlets. So far, only 33 retails store are likely to be operational once the mall is opened on Thursday.

Most of the stores that will be operational at the start are those belonging to mainstays H&M American Eagle, Bath and Body Works, and Sephora. The Dream Mall could suffer from only a few stores offering shoppers what they cannot find in other malls nearby. For instance, the Aland store will offer Korean Fashion and lifestyle.

The mall is likely to suffer from subdued tenancy as retailers that were supposed to be the foundation of the mall have already gone bankrupt or refraining from opening new stores. The pandemic has taken a significant toll on brick and mortar stores amid the social distancing policies put in place that continue to restrict movement.

Brick & Mortar Uncertainty

Shopping patterns have since switched to online, resulting in a significant reduction in mall traffic. Likewise, with the U.S battling the second wave of infection heading into the winter season, Triple Five could struggle to attract even half the number of brands required to fill the mall.

The Dream Mall is not the only one struggling with occupancy levels. A good number of malls have seen occupancy levels shrink significantly across the country as people stay at home and order goods online.

By reading our website you agree to the terms of our disclaimer, which are subject to change at any time. Owners and affiliates are not registered or licensed in any jurisdiction whatsoever to provide financial advice or anything of an advisory nature. Always do your own research and/or consult with an investment professional before investing. Low priced stocks are speculative and carry a high degree of risk, so only invest what you can afford to lose. By using our service you agree not to hold us, our editor’s, owners, or staff liable for any damages, financial or otherwise, that may occur due to any action you may take based on the information contained within our newsletters, website, twitter, Facebook or chat. We do not advise any reader to take any specific action. Our releases are for informational and educational purposes only. Never invest purely based on our articles. Gains mentioned on our website, twitter, Facebook, and on our website may be based on EOD or intraday data. We may be compensated for the production, release, and awareness of this article. We will disclose any and all compensation on the article page. This publication and its owner never hold positions in the securities mentioned in our articles. Our information may contain Forward-Looking Statements, which are not guaranteed to materialize due to a variety of factors. We do not guarantee the timeliness, accuracy, or completeness of the information on our site. The information in our disclaimers is subject to change at any time without notice. We are not held liable or responsible for the information in press releases issued by the companies discussed in these write-ups. Please do your own due diligence