We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Simon Property (SPG) Inaugurates Premium Outlets in Bangkok
Read MoreHide Full Article
Simon Property Group, Inc. (SPG - Free Report) recently unveiled Siam Premium Outlets Bangkok. The move comes as part of the company’s strategy of enhancing the company’s portfolio of premium outlets in thriving regions across the world.
Developed by Siam Piwat Simon, a joint venture (JV) between Simon Property Group and Siam Piwat, owner and operator of retail developments in Thailand, this center will offer international and local brands at “everyday savings”. Also, it marks the first Premium Outlet center in Thailand by the JV.
This premium outlet is positioned within a 15-minute drive from Bangkok's Suvarnabhumi Airport and a 45-minute drive from central Bangkok. The property is anticipated to draw a high footfall, given the airport served more than 65 million travelers last year and the metro area has a population of more than 14 million.
The retail property offers a collection of luxury designer brands, rolling out their outlet retail concept in Thailand, including Burberry, Balenciaga, Montblanc, Bally and Breitling. Also, international fashion brands like Furla, Hugo Boss, American Eagle, CK Calvin Klein among others are debuting at the center. kate spade NEW YORK, and Sketchers (SKX - Free Report) outlet stores also joins the tenant roster. Apart from these, there is a stand-alone, 13,000-square-foot store opened by adidas and a 14,000-square-foot premium retail store by Nike (NKE - Free Report) .
Siam Premium Outlets Bangkok also offers Asian and Western food and beverage options, apart from Starbucks (SBUX - Free Report) , BreadTalk and other concepts for shoppers. The property also features several amenities aimed at offering retreat for urban dwellers and tourists.
Simon Property has been making efforts to make its property stand out from the rest, investing billions to transform the company’s portfolio focused on creating value and boost footfall. The transformational plans included addition of hotels, restaurants, residences and luxury stores. Simon Property has been enjoying market leadership with a stellar history of generating significant cash flows and a decent liquidity position.
However, the retail real estate sector has been battling store closures and tenant bankruptcies and Simon Property is not immune these. Also, there is likely to be no respite in the near term as the tepid environment will likely prevail with dwindling footfall at retail properties amid social-distancing mandates and higher e-commerce adoption. Hence, rent collections, occupancy and pricing power are likely to bear the brunt.
In response to the pandemic and its impact on business, Simon Property has substantially reduced all non-essential corporate spending, as well as property operating expenses. In addition, the company has suspended or eliminated more than $1 billion of redevelopment and new development projects. Nonetheless, for some redevelopment and new development projects in the United States and internationally that are nearing completion, construction continues.
Due to the gloomy retail real estate market environment, Simon Property has underperformed its industry over the past year. Shares of this Zacks Rank #4 (Sell) stock have depreciated 56.5% compared with the industry’s decline of 22%.
Would you like to see the updated picks from our best market-beating strategies? From 2017 through 2019, while the S&P 500 gained and impressive +53.6%, five of our strategies returned +65.8%, +97.1%, +118.0%, +175.7% and even +186.7%.
This outperformance has not just been a recent phenomenon. From 2000 – 2019, while the S&P averaged +6.0% per year, our top strategies averaged up to +54.7% per year.
Image: Bigstock
Simon Property (SPG) Inaugurates Premium Outlets in Bangkok
Simon Property Group, Inc. (SPG - Free Report) recently unveiled Siam Premium Outlets Bangkok. The move comes as part of the company’s strategy of enhancing the company’s portfolio of premium outlets in thriving regions across the world.
Developed by Siam Piwat Simon, a joint venture (JV) between Simon Property Group and Siam Piwat, owner and operator of retail developments in Thailand, this center will offer international and local brands at “everyday savings”. Also, it marks the first Premium Outlet center in Thailand by the JV.
This premium outlet is positioned within a 15-minute drive from Bangkok's Suvarnabhumi Airport and a 45-minute drive from central Bangkok. The property is anticipated to draw a high footfall, given the airport served more than 65 million travelers last year and the metro area has a population of more than 14 million.
The retail property offers a collection of luxury designer brands, rolling out their outlet retail concept in Thailand, including Burberry, Balenciaga, Montblanc, Bally and Breitling. Also, international fashion brands like Furla, Hugo Boss, American Eagle, CK Calvin Klein among others are debuting at the center. kate spade NEW YORK, and Sketchers (SKX - Free Report) outlet stores also joins the tenant roster. Apart from these, there is a stand-alone, 13,000-square-foot store opened by adidas and a 14,000-square-foot premium retail store by Nike (NKE - Free Report) .
Siam Premium Outlets Bangkok also offers Asian and Western food and beverage options, apart from Starbucks (SBUX - Free Report) , BreadTalk and other concepts for shoppers. The property also features several amenities aimed at offering retreat for urban dwellers and tourists.
Simon Property has been making efforts to make its property stand out from the rest, investing billions to transform the company’s portfolio focused on creating value and boost footfall. The transformational plans included addition of hotels, restaurants, residences and luxury stores. Simon Property has been enjoying market leadership with a stellar history of generating significant cash flows and a decent liquidity position.
However, the retail real estate sector has been battling store closures and tenant bankruptcies and Simon Property is not immune these. Also, there is likely to be no respite in the near term as the tepid environment will likely prevail with dwindling footfall at retail properties amid social-distancing mandates and higher e-commerce adoption. Hence, rent collections, occupancy and pricing power are likely to bear the brunt.
In response to the pandemic and its impact on business, Simon Property has substantially reduced all non-essential corporate spending, as well as property operating expenses. In addition, the company has suspended or eliminated more than $1 billion of redevelopment and new development projects. Nonetheless, for some redevelopment and new development projects in the United States and internationally that are nearing completion, construction continues.
Due to the gloomy retail real estate market environment, Simon Property has underperformed its industry over the past year. Shares of this Zacks Rank #4 (Sell) stock have depreciated 56.5% compared with the industry’s decline of 22%.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Today's Best Stocks from Zacks
Would you like to see the updated picks from our best market-beating strategies? From 2017 through 2019, while the S&P 500 gained and impressive +53.6%, five of our strategies returned +65.8%, +97.1%, +118.0%, +175.7% and even +186.7%.
This outperformance has not just been a recent phenomenon. From 2000 – 2019, while the S&P averaged +6.0% per year, our top strategies averaged up to +54.7% per year.
See their latest picks free >>