Between 20% and 25% of the nation’s shopping malls will close in the next five years, according to a new report from Credit Suisse that predicts e-commerce will continue to pull shoppers away from bricks-and-mortar retailers.
For many, the Wall Street firm’s finding may come as no surprise. Long-standing retailers are dying off as shoppers’ habits shift online. Credit Suisse expects apparel sales to represent 35% of all e-commerce by 2030, up from 17% today.
APRIL 16, 2015 LAST UPDATED: THURSDAY, APRIL 16, 2015, 1:21 AM
BY KATHLEEN LYNN
STAFF WRITER |
THE RECORD
* Bergen, Passaic benefit, aided by rise in port activity and need for warehouses
Spurred by increased activity at the port, industrial space remains in high demand in New Jersey, with a vacancy rate of 8 percent in the first quarter, according to a new report from the commercial real estate firm Cushman & Wakefield in East Rutherford.
Space is even tighter in Bergen County, with a 7 percent vacancy rate in the first quarter, down from 8.3 percent in the first quarter of 2014, and Passaic, with a 5 percent rate, down from 7 percent.
The growing demand for industrial space reflects a 7 percent rise in activity at the Port of New York and New Jersey, which has increased the need for warehouse and distribution sites in the state, according to Ron Lo Russo, president of Cushman & Wakefield’s tri-state region.
“As both online retail sales and manufacturing are expected to trend higher, the New Jersey industrial market is earning a position as one of the healthiest markets in the nation,” Lo Russo said in a statement.
A rise in e-commerce has led to more demand for warehouse space in this densely populated region, as online retailers aim for quick deliveries to their customers.
