Store Closings vs. Openings
Commercial Observer
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For the first time this year, the number of store closures nationally has surpassed that of store openings. The switchover is partly a sign of inflation’s ill effects. Speaking of inflation, housing continues to drive what’s left of its increases.
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— Tom Acitelli, Deputy Editor
U.S. Retail Closures Surpass Openings for First Time in 2024
The pandemic may be over, but retailers are still feeling its impacts. Retail store closings surpassed openings for the first time this year earlier this month, bucking trends from the last few years. So far this year, 4,548 store closures have been announced nationwide compared to 4,426 openings — meaning a total of 122 stores have gone out of business this year, according to a report from Coresight Research released on Aug. 9. The news was first reported by CoStar News. “Retailers are faced with a plethora of issues currently — some internal threats, some external,” Coresight CEO Deborah Weinswig told Commercial Observer.
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Housing Costs Continue to Drive Inflation Even as Overall Pace Slows
Housing costs in the U.S. are still on the rise even as inflation overall cools down, according to the latest Consumer Price Index (CPI) report released on Wednesday morning. The CPI rose 0.2 percent in July after declining 0.1 percent in June, the U.S. Bureau of Labor Statistics said. Overall, the CPI increased 2.9 percent over the last 12 months, representing the first time the rising cost of consumer goods has slowed to below 3 percent since 2021, Reuters reported. A spokesperson for the BLS did not immediately respond to a request for comment. While inflation has started to slow, the main driver of the increases continues to be housing costs.
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