Folsom Premium Outlets: The History and its Future??

[FrankMoore99]

Here's a sign that the Folsom Outlets is still a popular destination: https://www.bizjournals.com/sacramento/ ... tlets.html

[ClownLoach]

Here's a sign that the Folsom Outlets is still a popular destination: https://www.bizjournals.com/sacramento/ ... tlets.html

The surviving malls are always adding stores, but why? Because of the increasingly high turnover. These malls didn't turn over locations before we got past peak outlet mall. There were waiting lists to get into the best malls and never any dead space sitting and waiting for a tenant. I'm sure it is "popular" in the sense that all the usual suspect outlet retailers are still there, but I'm also sure if they had a means of measuring traffic going back a decade or more they would be missing half or more of their customers. The quality of the tenants is also substantially lower now than a decade ago as many brands have simply exited the outlet business. For example Izod just moved that whole line to Kohl's and JCPenney, it was all "made for outlet" or "entry level" goods anyway so why bother paying rent and payroll when there are open racks at these department stores. I guess in that sense you could try to argue department stores aren't dying either.

But when you look at the long term trajectory, when you've been visiting the same properties for a few decades, you see the deteriorating traffic and tenant quality. And in some cases it is becoming extreme, such as the once overloaded Carlsbad outlets where not long ago greedy Simon was able to establish a paid premium parking lot for shoppers tired of circling for a parking space. They couldn't possibly get away with this now because you can generally park right in front or behind the store you want to shop now. There are at least a dozen sizable vacancies with for lease signage, and the only real change is Nike took advantage and expanded their store while fully remodeling. But there are fewer brands, less reason to go there, and the suddenly super easy parking is a major red flag. Can't help but wonder if that paid parking lot turned off a lot of guests permanently and now they're paying a steep price for their greed. They did the same crap at Cabazon for a short time and made the entire massive parking garage a paid facility, forcing customers who wanted free parking to go into the remote lots uphill and march through staircases and ramps in the blazing desert sun. (For those not familiar with this mall, it had parking in the center of a ring of stores but they developed all of it with more stores and built the garage behind the mall). The toll collectors are gone and the garage is empty. I can't imagine how much business is down. I didn't see similar behavior in Camarillo or San Ysidro next to the Tijuana border crossing because those customers can't afford to pay such fees.

None of these malls have a bright future.

[veteran+]

Cabazon is the only outlet mall I have been to. I visited this mall via out of town guests that heard about it.

2006 through 2016. It was a waste of time for me but it was very busy. The parking alone was a turn off.

[ClownLoach]

Cabazon is the only outlet mall I have been to. I visited this mall via out of town guests that heard about it.

2006 through 2016. It was a waste of time for me but it was very busy. The parking alone was a turn off.

The parking was fine when the setup was a ring of stores around the parking lot. When they eliminated that center parking lot and developed all of the space into more stores that ruined it. But that center is probably going to survive, or at least be one of the last ones standing.