Macy's Sells 5 Stores to Mall Operator GGP
Macy's has sold five store locations to mall operator General Growth Properties (GGP), the retailer said Monday. The Cincinnati-based department store operator will continue to operate some locations through the 2016 holiday season, but the sales are part of the company's push to reduce its store footprint. Macy's said workers displaced by store closings could be offered positions in nearby stores. Eligible full-time and part-time associates who are laid off due to the store closings will be offered severance benefits.
Total Retail's Take: This is another step in Macy's plan to unload unprofitable store locations. The retailer announced in August that it was closing 100 stores. Much like other department stores, Macy's has struggled with declining store traffic and increased competition from online retailers, Amazon chief among them. To combat the decline in brick-and-mortar sales, Macy's is increasing investments in its digital business, which have shown promise for the brand.