Retail
Retail property types range from single-tenant buildings, like a stand-alone pharmacy, to full shopping centers with dozens or even hundreds of tenants. Retail centers that have more than a single tenant are grouped by size and tenant type.
Demand for retail space is driven by consumer spending habits and trends.
The International Council of Shopping Centers (ICSC), the largest retail industry organization in the world, splits retail into five categories:
Malls: Regional malls range in size from about 400,000 to 800,000 square feet and include inline retail, service, and restaurant tenants, as well as major department store anchors like Macy’s or Nordstrom. Super regional malls are upwards of 800,000 square feet.
Community & neighborhood centers: These centers include a mix of general merchandise or convenience-oriented tenants. These centers are often “anchored” by big box retailers such as Target, Walmart, or grocery stores. These centers might range in size from 30,000 to 400,000 square feet.
Strip centers: Named for their straight configuration, these centers generally focus on convenience tenants such as dry cleaners, nail salons, and sandwich shops. Strip centers are smaller than 30,000 square feet.
Power centers: These centers are dominated by “big box” retailers like Best Buy, Dick’s Sporting Goods, or Bed Bath & Beyond, with only a smattering of smaller tenants.
Lifestyle centers: As enclosed malls became too expensive to build, a new generation of open-air lifestyle centers began to gain popularity. They feature upscale apparel and other retailers, along with dining and entertainment.
