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It's basically the definition of bankruptcy that you need to renege on your obligations to someone. Landlords run that risk. They're hardly the ones losing the

It's basically the definition of bankruptcy that you need to renege on your obligations to someone. Landlords run that risk. They're hardly the ones losing the most -- think of the poor creditors and shareholders. The landlords are only losing the expense of finding their next tenant, plus any difference in the market rate when the original lease was signed and today.

gremlinsinc 6y ago
I think everyone loses regardless, but I don't think we should prop up businesses, capitalism should be a game that you play to win or play to lose. Government needs to stop getting involved period. Help at the bottom - prop up the citizens who the government IS responsible for, let the rest duke it out. Corporations are not citizens. Government has no duty to help corporations. But, yeah everybody will hurt by this, sure. Malls will close, businesses will close inside malls, investors will hurt, and workers who worked at those businesses lose, even some consumers who enjoy malls lose, cities lose because they become blight, many probably get abandoned and become gang hideouts or something. Homeowners lose because home values drop, but lots of other factors will be causing a lot of the cycles above to happen to. Next 10 years is a hazardous wasteland for prosperity. Should just start bulldozing some of them and building green spaces and parks. I have a feeling open air is going to be a big trend over the next decade (less chance of viral spread).
- dencodev 6y ago
  Lmao gang hideouts
- Nasrudith 6y ago
  You can look at what actually happens in abandoned malls - bored teenagers and college students calling themselves "urban explorers" check them out and engage in some graffiti in a long abandoned site or trysts at most. Gangs would find them goddamned useless as territory because there is no income stream there. There isn't anyone to make money selling drugs to or johns for clients to pimp out. That is why the damn mall closed in the first place! The low traffic ironically makes it a poor place to lay low as "I saw some guy enter an hour or so ago" becomes useful instead of vague and useless. That similar noticability and lack of good pretexts makes it a poor choice for a meth lab compared to a random trailer or basement. They wind up such an economic wasteland that they aren't even good for criminal purposes which is vaguely impressive. That is essentially the one "upside" of their separation from residences. They aren't like the Opium Den/Crackhouse/Methhouse because they lack the attractiveness to be an attractive nuisance.
smabie 6y ago
I mean, a lot of landlords might have to declare bankruptcy as well. The entire economy is run on such high leverage and debt that bankruptcies at the bottom can have a chain reaction and destabilize the entire chain, all the way up to the banks that hold the mortgages. The fundamental problem is that the models investors use to manage risk become useless in novel market environments that break historical correlations between investments. This is a long-tail risk that is difficult to manage. When suddenly all of your investments are losing value at the same time, even if the models say the correlation between the assets is low, you end up in a very dangerous place. This is essentially the same thing had happened during the mortgage crisis.

gremlinsinc 6y ago

I think everyone loses regardless, but I don't think we should prop up businesses, capitalism should be a game that you play to win or play to lose. Government needs to stop getting involved period. Help at the bottom - prop up the citizens who the government IS responsible for, let the rest duke it out. Corporations are not citizens. Government has no duty to help corporations. But, yeah everybody will hurt by this, sure. Malls will close, businesses will close inside malls, investors will hurt, and workers who worked at those businesses lose, even some consumers who enjoy malls lose, cities lose because they become blight, many probably get abandoned and become gang hideouts or something. Homeowners lose because home values drop, but lots of other factors will be causing a lot of the cycles above to happen to. Next 10 years is a hazardous wasteland for prosperity. Should just start bulldozing some of them and building green spaces and parks. I have a feeling open air is going to be a big trend over the next decade (less chance of viral spread).

dencodev 6y ago
Lmao gang hideouts
Nasrudith 6y ago
You can look at what actually happens in abandoned malls - bored teenagers and college students calling themselves "urban explorers" check them out and engage in some graffiti in a long abandoned site or trysts at most. Gangs would find them goddamned useless as territory because there is no income stream there. There isn't anyone to make money selling drugs to or johns for clients to pimp out. That is why the damn mall closed in the first place! The low traffic ironically makes it a poor place to lay low as "I saw some guy enter an hour or so ago" becomes useful instead of vague and useless. That similar noticability and lack of good pretexts makes it a poor choice for a meth lab compared to a random trailer or basement. They wind up such an economic wasteland that they aren't even good for criminal purposes which is vaguely impressive. That is essentially the one "upside" of their separation from residences. They aren't like the Opium Den/Crackhouse/Methhouse because they lack the attractiveness to be an attractive nuisance.

smabie 6y ago

I mean, a lot of landlords might have to declare bankruptcy as well. The entire economy is run on such high leverage and debt that bankruptcies at the bottom can have a chain reaction and destabilize the entire chain, all the way up to the banks that hold the mortgages. The fundamental problem is that the models investors use to manage risk become useless in novel market environments that break historical correlations between investments. This is a long-tail risk that is difficult to manage. When suddenly all of your investments are losing value at the same time, even if the models say the correlation between the assets is low, you end up in a very dangerous place. This is essentially the same thing had happened during the mortgage crisis.