Ask the Expert: How have the characteristics of the most targeted retail tenants changed?
“Historically, power retail has been all about the anchor tenant(s). When I started in the retail real estate services industry, we used to talk about the “big 6” anchors, which included Walmart, Target, Home Depot, Lowe’s, Kroger, and Publix, when trying to decipher how to help our clients strategize their roll-outs. As the initial four of those tenants started to slow down, the industry searched for its new darlings, which included the TJX brands, sporting goods users such as Dick’s Sporting Goods and Academy, as well as other ‘treasure hunt’ retailers such as Ross, Burlington, Five Below, Beall’s Outlet and more.
More and more, landlords we talk to are focusing on tenants that can still draw customers to their centers, despite the changes in consumer shopping patterns due to the internet. A colleague of mine, Harold Schumacher of The Schumacher Group, accurately referred to this grouping of tenant’s as “the Four ‘F’s’” in a recent conversation we had. These are: food, fitness, furniture and fun.
Restaurants and fitness providers, in particular, are the new daily needs players alongside grocers. Today, landlords have to work hard to curate the right mix of tenants to bring their target customers to their centers multiple times throughout the week, for different purposes each time, and to get those customers to stay for long periods of time.”
Senior Director, Retail Tenant Services
FRANKLIN STREET REAL ESTATE
404.832.1250 x 0495