You can be on Entrepreneur’s cover!

Mega-Mall Operator CBL the Latest to File for Bankruptcy The retail nightmare of 2020 continues.

By Jonathan Small

entrepreneur daily

Opinions expressed by Entrepreneur contributors are their own.

Vostok | Getty Images

The fall of the mall is very real in 2020.

Big-time shopping-center operator CBL Properties has filed for Chapter 11 bankruptcy protection, making it the latest casualty of shopping mall closures throughout the U.S.

The pandemic has wreaked havoc on retail, particularly malls. As many as 25,000 U.S. stores could close permanently this year, according to Coresight Research, with 55 percent to 60 percent located within big shopping center. The demise of malls has become so rampant, there is even a website dedicated to chronicling their demise.

Related: The Most Notable Major Chains That Have Filed for Bankruptcy During the Pandemic

Part of a disturbing trend

Tennessee-based CBL manages shopping-center properties, which has been a lucrative business ever since malls first appeared in the 1950s. But times have changed. Thanks to Covid and competition from online companies such as Amazon and Instacart, many of CBL's best tenants have filed for bankruptcy or liquidation in 2020, including such staples as JCPenney, J. Crew, Pier 1 Imports and Papyrus.

Despite CBL's stock dropping 85.6 percent year-to-date through Friday, CEO Stephen Lebovitz said in a statement the company will return to "business as usual" during the bankruptcy, adding, "After months of discussions and consideration of a number of alternatives, CBL's management and the board of directors firmly believe that implementing the comprehensive restructuring as outlined in the RSA through a Chapter 11 voluntary bankruptcy filing will provide CBL with the best plan to emerge as a stronger and more stable company."

Jonathan Small

Entrepreneur Leadership Network® VIP

Founder, Write About Now Media

Jonathan Small is an award-winning author, journalist, producer, and podcast host. For 25 years, he has worked as a sought-after storyteller for top media companies such as The New York Times, Hearst, Entrepreneur, and Condé Nast. He has held executive roles at Glamour, Fitness, and Entrepreneur and regularly contributes to The New York Times, TV Guide, Cosmo, Details, Maxim, and Good Housekeeping. He is the former “Jake” advice columnist for Glamour magazine and the “Guy Guru” at Cosmo.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Editor's Pick

Business News

From Tom Brady to Kevin O'Leary – See Who Lost Big in the Wake of the FTX Crypto Collapse

The crash exposed an $8 billion hole in FTX's accounts, leaving investors and customers scrambling to recoup their funds.

Business News

This Highly-Debated Piece of Cinematic History Just Sold For Over $700,000 at Auction

The wood panel from "Titanic" is often mistaken as a door. Either way, he couldn't have fit. (Sorry.)

Fundraising

Avoid These 9 Pitch Deck Mistakes When Asking Others For Money

Crafting an efficient pitch deck requires serious effort, but at least it's not wandering in the dark since certain rules are shaped by decades of relationships between startups and investors.

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.