"The announcement is not a surprise because consumers are frozen--they're not spending," says Stephen Nostrand, executive vice president with Collier Abood Wood-Fay in Miami. "We're in a shrinking economy and it's an extraordinarily difficult time. Companies are squeezing everything they can out of the orange and doing those things that prudent management would do to show shareholders they're making adjustments based on economic conditions today."

Nostrand says the list of national chains and brand names that are closing stores and distribution centers is, though staggering, a direct reflection of what's going on with the economy. "Even high-net-worth individuals with huge amounts of discretionary income are frightened and are not buying or fixing up assets," he says.

"Unfortunately, this type of announcement from a retailer will continue to show up in the near future," says Greg Masin, retail broker with Cushman & Wakefield of Florida. "Retailers are under tremendous pressure, not just in their top line sales, but from Wall Street and the credit markets as well. Boards of directors need to take some action to offset declining same-store sales and cash positions. Store closings are one way to display that type of action."

Even retailers that are perceived as relatively healthy will look to close stores, warns Masin. "They will take the opportunity to trim below average producers from their portfolio. More vacant storefronts are in store.