Simon Property Group Wants to Be More Than Just a Mall Operator
The retail apocalypse is in full force. Last year, Sears Holdings filed for bankruptcy and is liquidating stores. Earlier this year, Dressbarn (owned by Ascena Retail Group) made the decision to close all its stores. And these are just two examples of the dozens of struggling retailers that have been closing thousands of stores or are on the brink of insolvency.
A major loser in all of this (other than the individual retailers) are the real estate companies owed rent and facing higher vacancy rates in the malls they operate. Among them is Simon Property Group (NYSE: SPG), a real estate investment trust (REIT) that operates 235 shopping centers around the world. While the company's business is holding up well, Simon is redeveloping much of its property to diversify its portfolio.
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Source Fool.com
