From malls to banks: The pandemic’s domino effect

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Malls are likely to shrink, while hotels may turn into offices. Meanwhile, tourism braces for impact as airlines experience turbulence and dangerous debt levels. Read this in-depth story by RalfRivas.

Mall operators have also started to help their tenants tap the digital space, according to Piper Tan of Philstocks.

“As part of the new normal in retail, Colliers encourages brick-and-mortar retailers to tap the demand by expanding their online presence. We expect these retailers to set up their own e-commerce websites, partner with e-commerce sites of mall operators or utilize social media platforms such as Facebook and Instagram,” Colliers said.

“If you have exposure to malls and hotels, it's going to be hard. But there’s hope for you if you have plenty of office space,” Tan said.The office space business also took a hit, but was considered the bright spot of all property segments. trim losses, which were incurred by its mall and hotel segments.

“We encourage hotel operators to continue obtaining accreditation from government agencies to accommodate BPO workers and OFWs.” Due to the pandemic, tourist arrivals dropped by 73% to 1.3 million from the 4.64 million arrivals recorded in 2019.

 

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