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Major U.S. Retailers Are Closing More Than 6,000 Stores
Submitted by Michael Snyder via The Economic Collapse blog,
If the U.S. economy really is improving, then why are big U.S. retailers permanently shutting down thousands of stores? The “retail apocalypse” that I have written about so frequently appears to be accelerating. As you will see below, major U.S. retailers have announced that they are closing more than 6,000 locations, but economic conditions in this country are still fairly stable. So if this is happening already, what are things going to look like once the next recession strikes? For a long time, I have been pointing to 2015 as a major “turning point” for the U.S. economy, and I still feel that way. And since I started The Economic Collapse Blog at the end of 2009, I have never seen as many indications that we are headed into another major economic downturn as I do right now. If retailers are closing this many stores already, what are our malls and shopping centers going to look like a few years from now?
The list below comes from information compiled by About.com, but I have only included major retailers that have announced plans to close at least 10 stores. Most of these closures will take place this year, but in some instances the closures are scheduled to be phased in over a number of years. As you can see, the number of stores that are being permanently shut down is absolutely staggering…
180 Abercrombie & Fitch (by 2015)
75 Aeropostale (through January 2015)
150 American Eagle Outfitters (through 2017)
223 Barnes & Noble (through 2023)
265 Body Central / Body Shop
66 Bottom Dollar Food
25 Build-A-Bear (through 2015)
32 C. Wonder
21 Cache
120 Chico’s (through 2017)
200 Children’s Place (through 2017)
17 Christopher & Banks
70 Coach (fiscal 2015)
70 Coco’s /Carrows
300 Deb Shops
92 Delia’s
340 Dollar Tree/Family Dollar
39 Einstein Bros. Bagels
50 Express (through 2015)
31 Frederick’s of Hollywood
50 Fresh & Easy Grocey Stores
14 Friendly’s
65 Future Shop (Best Buy Canada)
54 Golf Galaxy (by 2016)
50 Guess (through 2015)
26 Gymboree
40 JCPenney
127 Jones New York Outlet
10 Just Baked
28 Kate Spade Saturday & Jack Spade
14 Macy’s
400 Office Depot/Office Max (by 2016)
63 Pep Boys (“in the coming years”)
100 Pier One (by 2017)
20 Pick ’n Save (by 2017)
1,784 Radio Shack
13 Ruby Tuesday
77 Sears
10 SpartanNash Grocery Stores
55 Staples (2015)
133 Target, Canada (bankruptcy)
31 Tiger Direct
200 Walgreens (by 2017)
10 West Marine
338 Wet Seal
80 Wolverine World Wide (2015 – Stride Rite & Keds)
So why is this happening?
Without a doubt, Internet retailing is taking a huge toll on brick and mortar stores, and this is a trend that is not going to end any time soon.
But as Thad Beversdorf has pointed out, we have also seen a stunning decline in true discretionary consumer spending over the past six months…
What we find is that over the past 6 months we had a tremendous drop in true discretionary consumer spending. Within the overall downtrend we do see a bit of a rally in February but quite ominously that rally failed and the bottom absolutely fell out. Again the importance is it confirms the fundamental theory that consumer spending is showing the initial signs of a severe pull back. A worrying signal to be certain as we would expect this pull back to begin impacting other areas of consumer spending. The reason is that American consumers typically do not voluntarily pull back like that on spending but do so because they have run out of credit. And if credit is running thin it will surely be felt in all spending.
The truth is that middle class U.S. consumers are tapped out. Most families are just scraping by financially from month to month. For most Americans, there simply is not a whole lot of extra money left over to go shopping with these days.
In fact, at this point approximately one out of every four Americans spend at least half of their incomes just on rent…
More than one in four Americans are spending at least half of their family income on rent – leaving little money left to purchase groceries, buy clothing or put gas in the car, new figures have revealed.
A staggering 11.25 million households consume 50 percent or more of their income on housing and utilities, according to an analysis of Census data by nonprofit firm, Enterprise Community Partners.
And 1.8 million of these households spend at least 70 percent of their paychecks on rent.
The surging cost of rental housing has affected a rising number of families since the Great Recession hit in 2007. Officials define housing costs in excess of 30 percent of income as burdensome.
For decades, the U.S. economy was powered by a free spending middle class that had plenty of discretionary income to throw around. But now that the middle class is being systematically destroyed, that paradigm is changing. Americans families simply do not have the same resources that they once did, and that spells big trouble for retailers.
As you read this article, the United States still has more retail space per person than any other nation on the planet. But as stores close by the thousands, “space available” signs are going to be popping up everywhere. This is especially going to be true in poor and lower middle class neighborhoods. Especially after what we just witnessed in Baltimore, many retailers are not going to hesitate to shut down underperforming locations in impoverished areas.
And remember, the next major economic crisis has not even arrived yet. Once it does, the business environment in this country is going to change dramatically, and a few years from now America is going to look far different than it does right now.
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One communist OBAMA
Screw craigslist. When I was looking for a new car to buy they were all scams. "I don't know anything about the car but I'm selling it for my buddy who don't speak english." Then I still tried to sell my old car on craigslist. Most of my responses were from guys who wanted me to take the car to some out of the way place for them to see it and none of them could have known I am female. I ended up selling my car to CarMax. I made a little less money on it but at least I didn't die.
I bought my son a car on Craigslist a few years back. Real good deal and we lived to tell bout it.
It's certainly part of the explanation, but by no means all of it. I doubt the people shopping at bottom-end stores are turning to online shopping.
Buy stawks, we're at all time highs, cmon in waters fiiiine!
Blame it on eBay, Craiglist, Dollar General and Thifts, BitChez!
I was at a Wal-Mart today and saw many nearly new Bmers, Mecedes and Lexus cars in the pakring lot. And I was at a local thrift store a couple weeks ago and the owner/manager told me their biz is going thru the roof and he's opening another store soon. Perhaps the Americans may have put all their money into the stock market per the instruction.
Habitat For Humanity ReStore! Some unbelievable deals on very nice stuff. Much of it real stuff (like wood and metal), not Chinese plastic. I've gotten pedestal sinks, perfect pendant lights, insulation, doors, etc, there.
formaldehyde floors....
Asbestos tiles!
Melamine designer drywall by Ho Le Fuk.
Last time I was in one was in NC...Personally, I didn't find any "bargains"...
I've never had luck there. Just old junk.
the only time i go on ebay is just to pick up a old school kung fu movie that i can't get here in the usa
otherwise forget it i don't need it.
i don't see any reason for shopping at a thrift store unless one is really broke or something as with dollar general etc.
I do try to buy local or else go to specialized online places where i can get things made in germany, france , italy or the uk
my favorite places. Germany has really good quality things. France has good cookware.
Alright!!!
I don't see any Cash for Gold stores on that list. Those just seem to be popping up all over the place. Heavy demand for sign twirlers.
Where are you? They died out a year ago in Virginia. Nothing but title loan and pay day loan sharks where they used to be. Even jewelry stores are hurting. Kind of desperation advertising lately. (No engagement ringy dingies?)
I'm in Chandler AZ and they are everywhere!! Phoenix is even worse. Lots of loan shark stores too around now that you mention it. Oh! We actually have a Rent a Tire place!! For those of you who want to rent 20 inch rims with interest. It's unreal man.
Maybe I should look into the coyote business. Something is shaking.
Thanks.
I've read transporting Libyans to the freedoms of southern Europe can be very lucrative.
Hope you get the transport money up front.
" but larry, you said food prices ain't goin' up and no inflation is a big tax cut" .
Good riddance.
They weren't kidding when they said the economy is "on fire".
No veiled meaning there at all.
Empty parking lots are great for the RC fans. That is until they start drilling the military there for local, um... stuff...
I have a bad feeling that this is "The Change you can believe in". YIKES
I don't live in the US of A but I think I know who is responsible (read irresponsible).
Ha ha, dude, he said "Just Baked"...
What a coincidence.
Good news is that same store sales are going to rise! the marginal demand has to be met by existing stores.
Like stock buybacks to raise eps... it's downright diabolical.
That's it? A good start though. /golf clap.
The only thing a Jewish broad goes down on is an escalator at Bloomingdale's... Justfooling
"If the U.S. economy really is improving, then why are big U.S. retailers permanently shutting down thousands of stores? "
Surely this is rhetorical, as the answer is obviously plumbing problems.
<--- Camp FEMA
<--- Camp Walmart
Would interesting to map the closures against those remaining.
Would get a map where target concentrations are wanted for name your purpose.
Hedge your bets gentlemen would it be good to consoldate groups of population?
Cog I told you I could wear tin foil too.
If they would just raise wages to $50.00 per hour everything would be fine
I'll call your 50 and raise you 50 more!
Well gee i thought low gasoline prices would have helped to avoid this. But then again maybe im high on hopium. Gas retailers are struggling too. I should know cause i haul gas.
Nice work Billy. ;-)
They were never sustainable and have no soul. Picturing layers of zero value-add management. And the fools that support those chain store retail models whose money plum ran out and/or fickle nature wandered elsewhere. Made in USA, anyone? Buehler?
The first time my wife got me to run into a Kohl's to get some clothes I was standing in line gritting my teeth and saw a patron chatting it up with the cashier. By the time the patron's turn came up the cashier had to ask her to go to another line because 'I know you'. They aren't allowed to check for people they know. Holy hell. My wife hated the clothes I picked up worse than I did. I wore them once and had to throw them away.
I wonder whether these store closures are due to a change in shopping habits? Internet shopping has been one of the fastest growing forms of retailing in recent years. Hell, you can buy anything on the Internet and then have it delivered to your door.
Mr Snyder, did you successfully predict the last crash? If you did, provide evidence and I will start taking your gloom and doom seriously.
Dear FedRes,
We, the American people, desire you grifters return our economy to us. Our souls as well.
We'll be coming around with the guillotines to collect.
Liberty is a demand. Tyranny is submission.
The South Shore of Ma has lost anchor stores at several locations. It's starting to look like Rochester NY when Delphi and Kodak closed.
A lot of tax incentives were given and a lot of infrastructure work was done to accomodate tha develoment. Like Evergreen Solar, they reap the profits, shut down and fuck over the taxpayers.
there is a glut of retailers, amazes me how many stores there are compared to the populous of a city.
I heard they all had bad sewer pipes! Shit was backing up. So they closed 'em down.
Going long on plumbers
Well, brick and mortar stores don't have morons lending them money to run profitless on-line retail.
During the Christmas season I heard all retailers talking about giving consumers THE SHOPPING EXPERIENCE. From my point of view I was like oh yea.... For real? Is it time to show the world what it is that I have seen? Lol fools bet everyone will run like hell! I kept my mouth shut as to not let them know how I felt about it....
they ain't bragging about that whole new shopping experience all peeps gonna just love anymore..... that flopped like a cow patty. Not like anyone can really run from what most have really yet grasped which is coming sooner or later to the rest of society as I have seen.
I know peeps still haven't seen what I have seen but..... sure ain't felt much like shopping .... Plus the economy sucks.
I know some have seen things as I have seen. Back in the old days every once in a while I would be bitching about it and I would meet a pretty girl who would sincerely say no shit.... I'm getting that shit too. As we passed by each other in the population.
And I see what its done to the pop in general. It's had its effects so I do see peeps seeing things....responding in ways.
But I have seen some crazy shit!
Gives new meaning to the phrase "You've been sold out." Big time.
Post some charts manana. Sunday open.
Everyone is short $usd. Let's play bitchez
Hello Yen,
I wouldn't short the usd for all the tea in china. not even w/ your money. lulz
There's going to be some "back filling" Buzz.
Then the 10's yields will drop, and the currency(yield) <> differential ends.
The algo's can't trade these currency markets. TRUST ME.
Interbank Links/ without the EBS Reuters hook-up.
http://www.ozforex.com.au/
Lots of poor peeps just found out they owe tax penalty and have to buy health insurance or owe that penalty every year besides out of pocket expenses in or out of Obama care since the high deductibles don't cover anything but catastrophic needs after an at the smallest deductible for the healthy at $6000 yearly.
Or u can get the zero plan for $600 a month w no deductible. OUCH unless u have cancer!
Roger that. I read even on MSM today that Obamacare is eviscerating moar of Merika's Middle Class.
" Yes we can! "
30 years ago left a company and took my insurance with me (can't recall what it was called but you could carry your own insurance for a year and one half; cost me $35 a month. $35 a month...so how the heck did we get to what these prices are now? unbelievable.
We all knew they overbuilt. There was no stopping it then either. "Greed is Good" the mantra that Gordon Gecko branded comes back & bites people in the arse now. I said it back years ago & said it today. the gig is up the PTB want to deopoulate good luck to us all. Should be a hoot w/ no jobs on the horizon & multiple Wars look immanient. Smupid, smupidity & of course GREED. Even the smupid polticians don't have a chair left whe the music stops playing. It's all fun & games until somebody get's an eye poked out w/ a NUKE.
And don't forget about a half dozen Walmart stores - closed for the Homeland Security Plumbers!
Well, I see it as a good thing. If all the Wallmarts, McDonald'ses (eh) and what-have-you would close, and go the way of buildings in some abandoned soviet factory, the grass will crack the concrete, and with enough time, buffalo will graze on the plains of former America, and the land will be beautiful once again.
As it stands now, when you look at it from an airplane, Economy and Technology looks more like a cancer. And to not be complete Neo-Luddite, maybe we wake the fuck up and switch to different kind of existence that is beyond imagination for 99% of people living today, and doesn't involve economy whatsoever.
Sorry to disagree.
The retail and fastfood chains have saturated every corner in america for 'Market Share'. It's simply the laws of supply and demand in a minimum wage- 'TEMP' society within an ever shrinking middle-class.
jmo
Ps. Since mid/2004, the Bush#43 [Reagan #40-- Bush#41 and Bush#43 juniors favorite president?]administration has virtually eviscerated what's left of a 'Trickle-Down' economy... where the creme always floats to the top campaign contributors/cronies!
Ps2. Just think when Social Secuirty and Medicare are totally bankrupt by the intentional and diabolical 'Bush Family Dynasty... with the`Bush'babyboy'Jeb' finnishing off, what was once a truly wonderful country.
Is it too late? What can we do as a country to stop the rot? Answer: Start openly questioning authority by hitting the history books both pro-con, reading between the lines of said lineage, rather than being lazy and not researching for your childrens future's your choice.
jmo
Still blaming bush 6+ years into this new communist regime who has done everything possible to dismember our economy and our military.
You are one dumb fuck.
G.W.Bush introduces 'trickle down economy' during 2001-03 just like reagan (bush#41 favorite president that was brain dead at 73?)! Note: Texas is the largest recipient of MIC contracts, btw?
In 1945 corporations paid a (33%) third of all tax (receipts) revenue! And, as tyme past, it was gradually shrinking to ~(25%) twenty-five percent by the mid 50s. Under Reagan #40, Bush#41 and Bush #43 the overall tax receipt revenues from corporations fell to just (7%) seven per cent!
By 2003 the off-shore accounts of american multinationals and corporations quadrupled with Bush #43 signing China up for WTO and kicking out Taiwan?!? Note the date?
Bush#43 tries desparately to eliminate the 'estate [death tax] tax' and succeds in 2010, only to have it restored in 2011.
Taxation on dividends isn't fair to senior citizens. It's 'double-taxation', and hurts mom and pop?!? So, lets get unearned (capital gains) income off the books... and, just like that, it was not taxable anymoar!
He cuts IRS agent audits of corporations dramatically, and quadruples audits on mom and pops!
He cuts social welfare programs and hands out money saved to his cronies. Makes 'Credit Card Bankruptcy Laws to bebefit MBNA... his largest corp. donor! Price-Caps on energy during Calif.s Energy-Crisis never happened because Ken Lay asked Bush not to allow them. Ken Lay was Bush's largest individual donor-- both, during his Texas gubenatorial campaigns and his 2000 successful presidential election!!! Mr. Fuzzy Math...[?]
Bush#43 (and Administration) is a 'war criminal president'! He is responsible for over a million deaths of innocent women, children and elderly in Iraq alone! He is a warring profittering scoundrel, not een since the Ottoman's 'Genocide of the Armenians'!
He has totally eviscerated America's foreign policy!
Lastly, on a list that I've hardly touched upon,... his post-war (no-bid-contracts) went to all political cronies. To help Colin Powell out for lying about WMD in Iraq he makes his son Chairman of the FCC! Yeah, Patrick K. Powell now controls the agenda and the deciding vote how america's media moguls can game the system. It almost worked, but, some in DC came to their senses. Never fear when the next Bush gets elected the media will be totally 'Orwellian'!
I'm done writing up just a few of the Bush #43 blunders, that have set Obama's course on an agenda that no incoming president can overcome!!!
Think you grandiose asshole, of what a fucking mess Bush (Homeland Security)left for Obama?!? Here's a few examples... FDR hand to deal with Hoover's failed economic policies. Eisenhower had to deal with Truman's 'Korean War', and I like[d] 'IKE'. JFK had to deal with the USSR and Cuba on th presipice of a 'Nuclear War"? Nixon was handed 'Vietnam' on a golden platter from LBJ which opened-up the coffers of Social Secuity Funds and his Medicare Tax to help pay for Vietnam, while masking it as 'It's for your future", while with one hand hand giving and the other taking disproportionally.
You see, I'm not a myoptic dumb fuck but rather a very, very well read individual that you'll never have a chance with, so shut your fucking Bush`MGing mouth and behave~
Ps. Never in history did a sitting president go into a pre-ventive war for no reasons other than to show-off his 'cowboy strut'... and never did any president go into war without raising taxes!!!
This family: Reagan, Bush's have virtually bankrupted America-- My Country!!!
Note: Indeed, Obama fucked-up, but if you were handed this loosing hand, you'd be besides yourself!!!
Bravo Earle.
They're all flaming smelly vermin assholes that can only be measured by circumference.
Earle obviously is still upset over hanging chads... as opposed to our current administration who aren't skilled enough even to double as lawn jockeys.
Headlines read "Jobs Scarce, Wet Seal Tightening South of Downtown."
How else are all the corporations showing record profits except by cutting expenses and closing stores?
Employees are let go. Maybe even a couple of district managers. No more overhead.
You don't have to be an astronomer to know there are too many malls with too many retail outlets in the US.
The American consumer is a savvy beast. If the female of the species sees something she has to have but her mall is closed, she will drive an extra 12 miles to the same store in a different mall and buy it there.
Besides that mall has an Olive Garden, and that makes the drive worth it.
Lobster ravioli. Yummy.
Nice read on Michael Snyder!
http://rationalwiki.org/wiki/Michael_T._Snyder
DEMOGRAPHICS: BOOMER RETIREMENT
You got it.
I do not give a shit about those stores.
There is a Tim Hortons advert at the top of the page. That is a clearer indicator that retail is fucked. I pass hundreds of them and spend around $50 there every week of my life. Why the hell are they advertizing?
I never heard of 'tim horton' - that's why
Many of those are mall staple stores. The malls are next.
Check out the Dead Mall page on facebook. Full of closed malls in the USA.
Retail is just the canary in the coal mine...
I dread to see the carnage in all sectors of the economy soon enough.
+1000
V3 , I think Retail may be the Coal Mine.
I have a song to sing yet, and am keeping away from dark places. ;>
Okay, I'll be the 'dim bulb' that points out the obvious... decrease in retail consumption ahead of an increase in direction of household funds toward more productive uses (such as paying down debt to reduce financing load, saving to start or lend to a family business, or due to switching jobs to a more productive function or region) could explain any actual drop in spending at the retail locations targeted by this bit of a 'thinking prompt'.
ZH is great, love it here. ;)
Look at the list - most of this is pump & dump teen clothing or flat out garbage mall fluff like Wet Seal (wtf is Wet Seal?), Build a Bear (I mean really..).
Invest in pre teen and teen slut wear like Victoria's Secret - they are doing a roaring trade.
Good thing my children are grown. Can you build a bear for less than $100?
One way I thumb my nose at the system is to buy from EBAY. And no, not Amazon (the big ugly beast is almost always more expensive than Ebay and they're evil in my opinion). Avoid restaurants. Buy the best quality local food from co-ops or wherever I want, but every non-food consumer thing for me or my family is from one of the little independent merchants at Ebay. No stores.
Used to work at Amazon in customer service. Lots of dedicated Nazi/corprate types in managment who speak with forked tounge, and underlings who see through rosey glasses and enjoy dog food. Definitely an evil place.
Thanks. I know enough about Amazon such that I I'll never do business there.
i do agree about buying food from co-ops and avoiding restaurants...
restaurants are the reason for so many over weight ppl.
processed food - all fat ready to heat
Fact of the matter is,
We're full. China has been dumping their shit over here for 20+ years now, everybody has just about everything they need by now.
How many different toys, dishes, clothes, tools, etc does one household really need? That you can't find free or cheap on Craigslist or goodwill?
There's nothing left that anyone really needs to buy.
My house is full.
Your house is full.
The USA is full.
And wait to see what happens with China, they've financed their entire "roaring economy" by stacking their shit high and deep in every last corner of the USA.
We don't need any more shit over here, there's no room, even if anyone had money to buy it (they don't.)
So what's China going to do, shut down the factories?
No way in hell, when they finally realize nobody in the US needs to buy their shit anymore, and there's no place for it to go, they'll just keep churning out the crap anyway and then set up the conveyor belt right from the factory loading dock into the incinerator.
Yeah... full of shit from China.
Yup, full of Chinese shit so deep we can't see over the top of it now.
And they're using the proceeds from the shit they sold us to buy the land right out from underneath us.
how much crap does a baby boomer need to buy that they haven't bought already? ten times over? how many X gens and millenials see this and decide "to hell with that, I'm not living my life that way"?
you're absolutely right, the USA is up to its eyeballs in cheap, soulless trinkets... up to its eyeballs in housing, cars, and ultimately motherloving DEBT...
just how much more crap do people need to have to be happy? what the hell's the point?
lol that downvote has to be a 'bot... that's the last time I pay any attention to downvotes on this site
I only tend to buy things now that have two basic functions.
1) They might save me money...
a) Outdoor wood burning furnance is high on my want list given my location.
2) Equipment that can be used to make other things.
a) I still need a drill press for my woodshop. I am also looking at now trying to pick up metal working equipment as well.
'
'
Hunerd pacent!
We're about to see the largest wealth transfer in history, as our parents, the baby boomers start to die off.
What are we going to do with all the toasters, TV's, electronics, camera, beds, kitchen tables?
You think I'm going to throw out my folk's solid teak dinning room set?
It's called 'deflation' and we've got all the shit we need.
I don't need another gun, fishing rod, boat, plate or nuttin'.
•?•
V-V
PS. Not to mention Virtually Reality that is just going to wipe out bricks and mortar.
Spot on, both you guys. Forgive the upcoming little rant...
I woke up one morning about 12 months ago and realized, holy shit there's a lot of stuff in my house. Stuff just stored there because it's got no place else to go.
Then I visited my parents, who are retiring, and realized - their house is literally fucking full with shit. There's no more space on the wall for pictures, the basement is full of everything they never got rid of over the 25 years since the last of us kids was born. I thought, where the fuck is this stuff going to go when we need to get rid of it? Nobody will buy it, they're all in the same situation with their own pile of shit!
Deflation damn right! We got back home and started going through everything. It's insane how many things we found that were bought for one purpose and never used again. In fact I'd say the contents of our house are 33% gifts from family and friends, 33% furniture from family and friends, and the stuff we own ourselves makes up for the rest - some electronics, computers, clothes. We're in the purge phase now. Can't live like this anymore! And so much of ths stuff that's here isn't even ours! It's hand-me-downs from family because you can't throw out the solid oak dining set, right? Our living room set is my great-aunts. Our good china is my grandmother's. Our other good china is her mothers. We already have more "heirloom" stuff than we know what to do with and it's not even ours! And we have it because our folks/relatives got replacements! WHERE THE FUCK IS ALL THIS SHIT GONNA GO? Who can use it? Maybe we really do need to bring 100 million immigrants in just to have enough people to use the shit we already have!
Maybe it's the lingering depression-era mentality of the boomers who felt they all needed to hang onto everything forever. The more you look at it the more surreal it becomes. Rows of identical houses with neatly trimmed lawns, with identical garages with identical pegboards with identical sets of tools bolted up on the wall, cookie cutter lifestyles that look like they came off the assembly line in the late 50's.
My brother and his wife have kids - they haven't bought new clothes, EVER. They don't need to. Between my brothers/sisters and in laws they have more clothes and toys than they know what to do with. Why would you buy anything when your sister in law has piles of stuff her kids wore for a few months just sitting in the basement?
Both you guys are spot on. We are totally awash in piles and piles of things we already don't know what to do with.
Why do you think the "tiny house" movement is taking off? People my age and younger are waking up and realizing they don't want to live a life of DEBT just so they can suffocate under a pile of useless material SHIT.
As to the end of the article regarding the amount of rent paid by Americans, The end of the government induced housing boom pre 2008 has finally allowed me to raise rents for the first time since then. That movement has just begun and will dramatically change this equasion for the worse. Only when the whole thing goes down will rents fall apart. I fully expect that one day I will have to go to each of my tenants and take a perecentage of their paycheck, Id guess 50% at least. No two will pay the same rent but my buildings wont be empty as multiple families pile into shared housing units..
Big assumption you made there.
They can hold the economy together because as parasites chances are you will need a small army to defend the little you have.
[edit] No insult by the way all human beings even me are parasitrs in one form or another.
The tax basis has made owning rentals almost impossible
But Salvation Army and Goodwill Stores have been doing a brisk business. People want 2nd hand and at good prices. Why not?
Craigslist is also doing well. So many baby boomers have too much stuff and getting rid of it as well as downsizing to reduce costs.
Resurrect Ma and Pa. Convert the 6,000 stores to landfills and start throwing in the inventories of Chinese junk that nobody fucking wants or needs.
Agreed.
Knowing that the elite expect violence that can be used to declare martial law (why else has Soros been funding Ferguson and similar events of late?) which can be used to lock down everyone for the desired paradigm, one can only hope that those most affected by these travesties keep their heads and simply sit on their hands, take care of their communities, and merely observe the death of a thrashing Goliath that's long overdue and plan for a more equitable and decent way of life.
YOY poor numbers in the growth economy this had to happen ... IT WILL BE BETTER SOON! Really it will! Like when? /SARC
Me? I reckon it is all down to the bad weather that has been covering the globe since 2008 and nothing to do with the bankster manipulations. /SARC
Also notice how they are closing outlets over a period of time? This is so they do not mess up the theme of plenty of jobs in the economy. /SCARC
Here is a thought ... do you really think the people to be laid off will find a job? But hey Mr Fed your unemployment numbers (forget the government because they can't count) means you can raise interest rates by the end of the year.
COMING TO A COUNTRY NEAR YOU AS EVERWHERE KEEPS SLOWING and soon the FED will print again.
They won't? Then it will get ugly as the MSM concept of QE saved the economy and yet so many people are suffering BUT THE FED WON'T PRINT AGAIN BECAUSE? Those needing to be saved economically have been now.
I live in San Francisco. I've noticed a shitload of commercial space "for rent" or "for lease" signs.
Same thing's happening here in Sydney. Oxford street, one of our premier shopping districts is not so premier anymore. At last count, there were 30 odd retail stores for lease over a two mile stretch. I've lived in Sydney for most of my life and have never seen this before.
Same in the northeast. I'm old and I've never seen it like this.
It's The American Curse >>> http://wp.me/p4OZ4v-3z
I feel horrible about the jobs lost, but what loathsome places most of those stores are. Worst are the teen-fashion places like Wet Seal and especially Abercrombie, selling kids a creepy caste system. I have bought clothing from Aeropostale and their t-shirts are okay but they have a trillion hideous pieces for each basic-inoffensive one. Macy's is a messy dump full of discount racks whose contents don't resemble the contents of the regular racks. The last washer I bought at Sears was a lemon (now I have a Speed Queen). Friendly's was gross when I was a kid in the 70s, and these days even my sea-gull-like parents who will eat anything somehow never eat there (the "Friendly Fribble; ewwwww). I've bought Coach purses second-hand and they can be nice, but who needs more than one? I once went into the Body Shop and it was well-meaning I guess but smelly, boring and confusing; how much crap do you need to slather on yourself? Pier One is a place I go into once every few years, and come out empty handed every time - I can buy all of that stuff at yard sales for a tenth the price (but don't bother to). Build a Bear; ugh; a plastic experience for kids.
That said, I would bring them all back in a second if I could. I have friends from high school who work in those places, and relatives who do. It is a bunch of crap, but it is terribly sad to have it go. And if something doesn't come in to replace all of this, people will go insane.
Sea-gull-like parents... LOL
i think we will start seeing more repair services popping up for various items if they are repairable at a reasonable price. less of a throw away society hopefully. more old cars being fixed etc.
I drive a Corolla, 245000 klicks on the clock, still going strong. I'll get rid of it when it permanently stops. These days, a 3 year old car is considered no longer drivable. We are such a wastefull society.
same here. 98 frontier about 250k.
I live in an extremely rural area in New England. Population - around 1350. Am seeing something totally new: beggars at the gas station.
First one was older guy - healthy looking, beefy, takes care of himself, was from area near Canada. Said there's no work in that area -- the meanness of people is coming out in his town, he said. Guy was looking for a place to stay so he could look for work.
Then 2 young girls: asking for gas money. One had facial tattoos. The friend was very skinny. Definitely not healthy looking.
Older guy, a close by neighbor, has been out of work forever. Methodically sold off land he owned. Lives in a tiny place now--is down to selling off stuff he owns, like a dresser, exercise bike etc.
That's why I wrote what I wrote just above, that I would bring back all those retailers if I could. I'm from rural New England originally. Any job is better than nothing. Losing those horrible stores is tragic. I'm so sorry that things are getting that bad where you are. The welfare state doesn't reach the rural areas so much; all those offices are in the cities and rural people can't get to them if they don't have a car anymore or a phone.
I don't see CONgress on the list. Would only have to close one of them.
Zing!
I see what you did there.
The stuff dreams are made of.
No bricks and mortar, everything is online sales, no need for store fronts. Although, I don't like buying shoes and clothes online... sizes have a wide range for fit.
Heck of a recovery...
What we thought were green shoots emerging, were squid tentacles.
...Browneye....
There is a big storm brewing. Batten down the hatches, Raise the storm sail. Clip into the jack lines. Keep the family below.
Oh, and don't forget: "Katie bar the door!"
Nearly a third of those stores are Radio Shacks. The majority of the rest look to be higher-end stores that, frankly, can't justify as many store fronts while the "wealth gap" continues to increase. Those middle-class soccer moms aren't busting out the credit cards to make sure that Madison and Mackenzie are just as well dressed as the other twits on campus.
Good news is that by the time Madison and Mackenzie complete their masters in womens studies, the labor market will be roaring back with jobs making Abercrombie clothes for kids in China and Tiawan.
lol, Madison and Mackenzie with everything monogrammed. What type of human evolution did we choose?
At least Tattoo shops are poping up everywhere and in 10 years tattoo removal will be everywhere.
Tattoos are for people that don't have real world scars.
The problem with tattoos is that they change with the body. When a 20 year old gets a perfect little tattoo of a perfect little rose on her perfect little ass, it looks great. Thirty years later, when she is getting out of the shower, her little granddaughter walks into the bathroom, and says: "Grandma, why do you have a tattoo of a banyan tree on your butt?"
What they don't tell you about tattoos, but what the tattoos "interferring" with the Apple watch do tell you:
1. That "ink" is really nasty stuff. There are medical reports of it migrating to the liver and doing real damage. That's why in Japan the gangsters who are heavily tattooed are said to smell; it is said, "you can smell the beast coming..."
2. Tattoos are a bizarre phenomena indicating a bizarre time in our history; never before, and one hopes never again, has the self-identity need expressed itself in such a shallow manner, ie, tattoos are about "look at me" not about "let me show you what I've accomplished."
3. Tattoos destroy the sweat glands in the skin, and because of this they change the biochemistry of the body. Kidneys become overloaded trying to thow off the "waste" that would normally be excreted by those, now destroyed, sweat glands of the skin. The kidney can only do so much before it gives up.
My children don't have any tattoos because I told them in no uncertain terms that they would not be allowed in my front door if they got any tattoos. We have forgotten in this country that adults are in control; you have the right to maintain and demand your standards in "your" world. Duh.
You can also catch hepatitis C from the ink. Even if you ask for new needles, if they use ink that has been used on someone else (common) you can catch stuff via the ink.
Zero Hedge
1/5/2015
The giant that is the US Economy has been dead on its feet since at least 2008, having taken years of arrows to the back by banksters and pols the world over, it's finally dead and tipping over.
It's falling over, but things that big take a long time to hit the ground; everyone can see it's falling over, nobody can do anything about it, and all we see now are the desparate govbanks et al running in from every direction to put some pillows on the ground to soften the final landing.
Your jus sayin thet cuz yore raycess an hates blax presidences
the fed govt is taking in record high tax revenues each quarter, sucking the life out of the economy.
it starts with fed govt at the top and it's fucking turtles all the way down... state income taxes, sales taxes, *** property taxes *** you name it... some fucking 'crat somewhere has their goddamned hand in your pocket all the fucking way down... then they take all that they've taken, say it's not enough, put fucking bond issues up for vote which basically declare out loud for all who have ears and can hear "hey, these guys are sheep, we can buy now and pay later and fleece the ever living crap out of these guys for the next 20/30/40 years, and THEY'LL VOTE TO LET IT HAPPEN AGAIN AND AGAIN"... because voters think that money is free somehow...
great googly moogly, the tax levy swamp the USA has cooked up for itself... it's strangling everything it gets its hands on and then the idiots on their various hills have the nerve to wonder why that is... fucking useless, clueless, and hopeless
definitely a 'bot...
I am curious if you might be of the persuasion that would either pave the roads in gold because we secured the money, or wait for the paver to complete the project of road-building on his timing?
If neither, then nervermind. ;)
I'm still waiting for Starfux to open branches in ferguson, downtown detroit and harlem....
Is Starfux Chosenite owned? What a bunch of racist pussy hypocrites...
LOL...Chosenite CEO lecturing whites on racism......That never gets old
You lecturing someone else on THEIR racism also never gets old and is just as hypocritical as the alleged nastiness of the people you are complaining about.
Starbucks was started by a member of the cabal, but like most large public companies its ownership (although obviously not its ideology - based on its recent PR fiasco) is more dispersed now.
Just looking at the list of stores to be closed makes me wonder who would be shopping at half of these places to begin with. Maybe part of the problem is there are way too many "specialty" stores in the first place. Coach? Dellas? Wet Seal? WTF????
The thought has crossed my mind, perhaps the banksters and/or China think it's in their best interest to have occur some sort of disaster of epic proportions in the USA, in order to destroy enough material items and clear everything out, so that they can sell us everything again.
Wouldn't be surprised if they actually are hoping for the reset button, destroy everything and start the cycle again. War is good for the economy don't you know!
Great information Tyler, as this trend is important to note. My belief is that the primary driver for this trend is the most obvious one - lowered incomes and reduced buying power for non-necessities.
However, it would also be interesting to note if the retail store closures are more concentrated in certain behavioral (as opposed to income) demographics. For example, superficially it appears that some of the store chains in your list that have the greatest closure rates as a percentage of total store population promote a certain lifestyle that is becoming more problematic as our society erodes - irrespective of income levels.
For example, “Children’s Place” and “Body Central” (there are many others like this on the list, not trying to single out these stores in particular) both cater to the two income “self-centric” lifestyle that hires day care to watch the children and throws "toys" rather than "parenting" at the family. As incomes lower, costs of day care rises, and the social problems associated with this approach are increasingly revealed, maybe stores that are appealing to that problematic behavioral demographic are waning in popularity. This is happening while another trend, arguably somewhat opposite in nature, is growing – home schooling. If so, this may not be completely a bad trend.
Obviously my observation is anecdotal, because I have not done a rigorous study of this. It might be a worthy future article topic however.
One more thing, people used to throw shit out when they were done with it.
Thereby perpetuating the myth that every household needs one of everything for their own use.
The Internet and Mobile apps are a disruptive technology and you're starting to see this - look at how OfferUp is going bananas - the word is out, why throw it away when your neighbor might take it off your hands for $5?
Why buy it new wh en you can find it cheap the next block over?
Thanks to these apps I'd say we're moving towards an economic model where you just don't need everything anymore because you'll have an app on your phone that lets you know which neighbor you can borrow it from.
More of a collective-ownership model.
The days of everyone needing everything for themselves are over.
Do you mow your lawn 7 days a week? How often do you need to use those garden tools, on the daily? What percent of time is the extension ladder up on the wall in the garage?
When people have money to burn they'll buy all this shit for their own personal use and 95% of the time it all sits there doing nothing.
But take away a person's disposable income and they adapt. They realize they don't need everything anymore. They don't need to OWN it. They can borrow, rent, or re-cycle it.
Our neighborhood has a google doc where we list what everyone has, and we all share.
We share one lawn mower between 3 families. In return the neighbors have my pressure washer. Between 10 houses on our end of the block we're probably responsible for at least $20k in lost sales of new chinese bullcrap.
Why buy new? The genie is out of the bottle.
Good comments.
Things like tool sharing are great, but luxury items and personal items don't always lend themselves well to sharing.
Why buy personal and luxury items new?
Answer: So you can flog your nice new item for a few months and then sell it online or barter it and recover some of your money.
The online secondary (used) market for things like electronics, guns, furniture, and fashions has been flourishing for well over a decade (Craigslist, Gunbroker, etc). The reason a "used stuff" listing service like Offerup is going vertical is not because it's revolutionary, it's because people are broke.
I do wonder who pays for that lawn mower or pressure washer once it breaks. Is the owner stuck with a worn-out piece of equipment, too bad-so sad? If everybody chips in to replace it, does it then become a community asset? What of the guy who never used it? Does he get dinged for it, as well? Who then decides how to allocate this high-demand community property in the event of a conflict?
Here's the country viewpoint on this:
Sure, everybody shares out here. But if you have to borrow my property all the time because you use it constantly, then you need to go buy your own. Independence and neighborliness are not mutually-exclusive concepts but everyone is expected to pull their own weight.
Also, I wonder what the people who live on your block are going to do for a living once everybody stops buying things. No factory jobs. No transport jobs. No retail jobs. No service jobs.
For that matter, why have one bed for each person, since you're only using it 8 hours a day.
While it's nice to band to gether and help each other, a systemic adoption of this leads to a return to medieval serfdom where you own nothing and all items of value belong to someone who allows you to use them at their pleasure, not yours.
The world is rapidly moving back towards the worst possible social model-- that of an aristocracy on top replete with special privileges and a penniless mass of rightless laborers who are dependent on institutions, not on themselves.
The introduction to William Manchester's first Churchill volume "The Last Lion: Visions of Glory" has an extremely instructive introduction to the world of the Victorians that offers a highly-disquieting look at what the top tier of society is aiming to regain.
American boys and American guns stand in the way of that evil, regressive dream. Nothing else.
I'm going with online and the rest are just shitty stores.
LOL,
Where I live, most of those companies never/wouldn't open a store. I don't recognize a bunch of them. But neither do I go to malls and such.
I'm surprised that Lowe's and Home Depot aren't on the list because there are too many of those box stores as well as Best Buy.
Scratch Radio Shack. They went totally bust. They were not doing well even when the economy was half decent.
“The illusion of freedom will continue as long as it's profitable to continue the illusion. At the point where the illusion becomes too expensive to maintain, they will just take down the scenery, they will pull back the curtains, they will move the tables and chairs out of the way and you will see the brick wall at the back of the theater.”
- Frank Zappa
NOTE: Operation Jade Helm is them taking down the scenery and pulling back the curtains...
Thanks for the Frank Zappa quote. How true, all an illusion.
A great song by Frank "Cheepnis", with music starting around the two minute mark, though the talking part is interesting also.
https://www.youtube.com/watch?v=gzxa49fefq8
Obamaconomy
Forget Independence Day liquidation sales, Jade Helm Sales days will last longer!
The internet isn't "Taking" any sales. The damn stores won't carry a decent inventory so we am forced to look elsewhere. Jesus, the Mrs was looking for a bath rug and had to go online. (Had to be lavender) Was looking for a blue lavatory sink, had either order from a "Home Improvement Store" or go online
The internet is nothing more than a catalog store, not much different than Sears in the early twentieth. Only this time they're forcing us by not stocking the stores. The SOB's want some damn robot doing all the work while they sit back and soak up the dough. Exactly where the customer is going to get the money to buy their junk is the question. With no employment, apparently we'll all be their little hamsters getting fed once a month by gubbermint.
Gee, what a fun life that'll be!
Going out of business electronics.