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Latest Front in Food Delivery: Kitchen in Empty Malls

Property developers are building kitchens in empty mall space and parking lots to fill food-delivery orders, a new approach in the fast-growing business of shuttling meals to customers.

Developers say “ghost” kitchens can create new interest in retail and warehouse space vacated by merchants that have struggled to compete with e-commerce.

Delivery now accounts for roughly 9% of the $282 billion U.S. fast-food sector and is growing. Restaurants are expanding their delivery offerings to generate sales despite the impact those orders often have on their operational efficiency and profits. The remote kitchens can reduce their real-estate costs while expanding their reach.

The Wall Street Journal. Heather Haddon. 2/2/2020

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