The billionaire founder of a $74 billion fund had a brutal assessment of brick-and-mortar stores

LOS ANGELES — TPG’s David Bonderman just struck down on why retail is hurting.

“There are more store fronts than the country needs,” Bonderman said May 1 panel at the Milken Institute Global Conference held at the Beverly Hilton.

Bonderman is the billionaire founding partner of TPG, an alternatives firm with $US74 billion in assets.

According to Business Insider’s Hayley Peterson, more than 3,200 store closures have been announced in 2017.

“The guys that are having the most trouble are selling other peoples’ brands,” Bonderman said, citing department stores.

“You can get those brands over the internet on many different sites. You can get them in retail stores on many different sites,” he added. “The internet has proven much more resilient than many of us thought.”

Bonderman highlighted many online retailers’ ability to offer free returns and convenient services like Amazon Prime, which offer 24-hour free delivery, as challenging brick-and-mortar stores.

You can read more about the retail apocalypse here.

NOW WATCH: Hedge fund legend Ray Dalio to individual investors: Market timing is ‘like playing poker’ against world’s best

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.