Observers have said that the city of Detroit is scarred by an all-too-common sign of the recession: once-prosperous shopping malls facing closure or bankruptcy.

The Detroit News reported on Saturday that the lingering financial malaise has seen at least three that thrived in the city in the 1990s close or see occupancy levels fall to 60 percent.

The newspaper also said that some of the city's older malls have seen business decline as newer centers and big box retail stores go up in other areas.

According to one expert, the impact is on more than just the mall.

Paul Bensman of Details in Retail, a retail consulting company, said, "A dead mall really benefits no one. It's not good for anyone, not the communities they're in, not for the retailers."

Many shopping centers are at risk of being "dead malls," which DeadMalls. com defines as having "a high vacancy rate, low consumer traffic level, or is dated or deteriorating in some manner."

Retail consultant Ken Nisch has said that a mall with a 25 percent to 30 percent vacancy rate or a center with anchor stores that have been closed for a year or two raises red flags.

Illinois-based Sears Holding Corp., whose stores anchor many malls, often finds itself the last occupant of dying malls.

Sears spokesman Chris Braithwaite said, "We try not to abandon communities, but once the malls close, it gets harder to stay open. Sears' first choice is to stay open as long as it's feasible to do so." (With inputs from Agencies)