I am writing about the corporate standpoint of the Silver Lake Mall and the active influence they are taking to move small independent businesses out. Over the past several months, independent businesses have been forced out of the mall by brute corporatocracy in favor of “Protecting their properties,” and this has led to the emptying of the mall.
Specifically, the leasing director for the area has taken a “non-negotiable” stance on what they call the “breaking point” of businesses, the cap that they can make, before the mall collects an additional 10-20% (of gross sales) above the rent already paid. This was never an issue before the new corporation took over the management of the mall, but now it is, and now if a small business makes $100,000 and their breaking point is $90,000, then the mall is going to collect another $10,000 (or more).
Small businesses with employees can’t afford to take this kind of hit. The margin of profit for most small businesses is less than 30%, and that profit goes into maintaining the business presence. The mall management just doesn’t care. They want more corporations and large businesses who are not in our market, since we are “too small” for them.
Sears has closed because of this very reason, N8’s Tech Service has moved because of this, Nichols Computer is moving because of this, and the odds are more stores are moving. Why allow the corporations to dictate the policies when it should be a local decision?