Mall owner Simon Property Group Inc. increased its full-year earnings guidance as retail sales and shopper traffic pick up across the U.S., Bloomberg News reported. “Our business has substantially improved after addressing the impacts from the COVID-19 pandemic,” Chief Executive Officer David Simon said in the company’s first-quarter earnings statement yesterday. Profitability, cash flow and customer traffic have grown, increasing tenants’ sales. Leasing momentum is also on the rise, he said. The company now sees funds from operations of $9.70 to $9.80 a share for the year, up from its forecast in February of $9.50 to $9.75, according to the statement. Like other retail landlords, Indianapolis-based Simon Property took a hit in the past year as malls shuttered during local lockdowns and consumers shifted more purchases to the internet. Rent collections dropped and many big chains filed for bankruptcy. Simon was also embroiled in a legal battle for months over its agreement to acquire rival mall owner Taubman Centers Inc. just before the pandemic hit. Simon reached a deal in November to purchase Taubman at a lower price. In the past few months, the nation’s retail business has been rebounding as vaccination rates accelerate and cities expand reopening plans. The Taubman portfolio is also seeing signs of growth, Simon said.
