Pressured by financial concerns, retailers across the US are rushing to open malls in the country. A new report from CBRE, the US commercial real estate services and investment firm, said these retailers could only pay around 10 per cent of their rents in April due to a dip in sales. Shopping centers anchored by grocery stores could also pay only 80 per cent of their normal rent payments.

Even with e-commerce options, these retailers saw a 8.7 per cent decline in sales in April as against sales in March. The estimate for total monthly sales for the retail trade and food services industry fell to $483 billion, effectively erasing three years of growth. Also, some retailers prioritized the retention of sales and management staff over making rental payments.

Simon Property Group, the largest operators of shopping malls and outlets in the US, has reopened 77 out of its 209 properties, more than a third of its portfolio, in 38 states after national closures in late March due to the pandemic. The company plans to open “approximately half” of its U.S. portfolio within the next week.

Similarly, Macerich, another large owner of malls, has also re-opened 13 of its 52 US properties in Texas, Colorado, Missouri, Iowa, Indiana and Arizona.