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E-commerce boom causes pain for stores and local governments - Government News - Crain's Chicago Business

Earlier: More gloom for department stores Many mall owners are redeveloping their properties with an eye toward drawing specialty retailers, restaurants and theaters, but Lord says those venues won't pick up the revenue slack. "Malls need to stop thinking they'll be rescued by a Lucky Strike bowling center," he explained. More likely, smaller malls will be converted for other uses such as sports complexes, senior centers, condos or medical offices. And that will force city planners to come up with new or altered funding sources—whether that be finding more aggressive ways to recoup taxes from online sales or prevailing on Springfield to broaden the sales tax to cover services as most states do. In the most recent round of closings announced earlier this year, JC Penney slated the shuttering of 138 stores, including seven in Illinois. Macy's scheduled 68 closings with three in the state. Troubled Sears Holdings, which has been closing Sears and Kmart locations for years, announced the end of 150 stores, including two Kmarts in Illinois. Other mall staples such as The Limited, Bebe, MC Sports and Radio Shack are saying goodbye. It's only the latest iteration of a long painful slide, with secondary "B" and "C" malls taking the brunt. The 60-year-old Evergreen Plaza in south suburban Evergreen Park was torn down in 2015 and replaced with a smaller outdoor mall anchored by Carson's and Dick's Sporting Goods.

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