Michael Lebovitz on foot traffic
From CBL Properties CEO Says Traditional Mall Model is Changing More Today Than Ever · · Nareit1
“So far, our foot traffic has held up and is above 2019 levels, and our sales have held up as well. We are concerned about next year and the lag effect from higher and interest rates, which have definitely impacted the financing markets. However, we think we're well positioned due to diversification and added experiential aspects to the mall.”
On , Michael Lebovitz, President at CBL & ASSOCIATES PPTYS INC, spoke about foot traffic during CBL Properties CEO Says Traditional Mall Model is Changing More Today Than Ever on Nareit1.
About Michael Lebovitz
In a September 2023 interview, CBL Properties CEO Stephen Lebovitz discussed the company's post-reorganization financial position and the evolution of its mall properties. Lebovitz stated that the company had strengthened its balance sheet, reduced debt, and increased free cash flow following a major reorganization, which he said positioned the company well for the current environment. He noted that debt to EBITDA was in the low six times and that interest costs had been reduced through financings. Lebovitz described significant changes to the traditional mall model, saying the definition of an anchor tenant has expanded to include casinos, entertainment venues, and non-retail uses, and that the tenant mix now includes more local and regional stores. He said the company is adding charging stations and external activities in parking lots, and that the mall is "changing more today than it ever has" due to evolving customer preferences. Regarding foot traffic, Lebovitz reported that traffic was above 2019 levels and sales had held up, though he expressed concern about the potential lag effect of higher interest rates on the financing markets in the coming year.