Last week, the top mall operators delivered a blunt message to short sellers and naysayers who had expected more gloom for landlords in the bricks-and-mortar retail business: Don’t count us out just yet, the Wall Street Journal reported today. The real-estate investment trusts delivered second-quarter results that showed some resilience, with average sales productivity holding steady and occupancy rates taking a smaller-than-expected hit from retailer bankruptcies and announced store closures. Simon Property Group Inc. and Macerich Co. reported strong re-leasing activity and a pickup in same store net operating income growth, and their shares have climbed since their results were announced last week. Mall landlords said that they are working hard to fill vacated space with tenants such as restaurants and entertainment providers that draw foot traffic.
