Tuesday, April 11, 2017

Vornado's Roth Sees Chance to `Feed on the Carnage' in Retail

Image result for store closingsSteven Roth, Vornado Realty Trust’s chief executive officer, said it may take more than five years for U.S. brick-and-mortar retailers to downsize enough to reflect new consumer preferences, creating potential buying opportunities for companies with enough cash.

Retailers are struggling because the U.S. is “grossly over-stored” with at least 24 square feet of shopping-center space per capita, Roth said in his annual letter to shareholders of his company, one of the largest property owners in Manhattan. Roth also cited decreasing foot traffic and the rise of online shopping as reasons for the sector’s decline, which he said may need to be tackled by shuttering as much as 30 percent of the weakest retail space.. . . more

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