Amazon has had talks with Simon property group about converting some of its mall spaces into termination centers. The conversations started before the coronavirus pandemic, and before the latest wave of bankruptcy filings by mall stalwarts like Lord & Taylor, JCPenney, and Nieman Marcus.

Simon is the biggest mall owner in the US and looking to fill empty retail spaces. Having its warehouse warehouses closer to residential areas would help Amazon make deliveries more quickly.

Amazon would be unusual for a company like Simon to lease retail space directly to Amazon. Some malls across the US rent parking lots to Amazon vehicles already.