Reuters has reported that Simon Property Group, one of the nation's largest mall owners and landlords, is planning on converting some of their stores into Amazon fulfilment centers. Simon Property Group and Amazon Inc. have been in talks to turn some of Simon's department store spaces previously occupied by J.C. Penney and Sears into new Amazon fulfillment centers.
Reuters also reported that Simon and Amazon have also explored buying out retail space previously occupied by the two department store chains. Simon and Amazon began these talks before the coronavirus pandemic, but with tenants struggling to pay their rent and stores currently closed in some states due to the coronavirus pandemic, Simon needed a new way to make money.
No deal has been finalized yet, so it is possible that this might never come to fruition. Amazon is one of the few retailers who actually saw growth during the pandemic when the majority of other retailers were struggling due to lockdown. So far this year, Amazon has gained 570 billion dollars in market capitalization.
FashionUnited has reached out to Amazon for comment on the potential Simon Property deal.