Mall execs at ICSC say retail is healthier than you think

Vacancy rate in big cities is near 10-year low

TRD MIAMI /
May.May 22, 2017 03:15 PM

Retail real estate experts gathering in Las Vegas for the International Council of Shopping Centers annual expo are prepared to push back against the narrative that retail is in a death spiral.

“We’re trying to arm our people with facts so that when the questions are asked, we can say no, actually, these are the facts,” said Greg Maloney, head of retail brokerage at JLL, according to Bloomberg.

In large cities across the country, the retail vacancy rate stood at 4.9 percent in the first quarter, which is near the lowest level of the past decade, according to data from JLL and CoStar. Property owners are also re-leasing many stores ahead of closures and bankruptcies with more profitable businesses like food and entertainment venues, Maloney said.

The state of the retail market will be on the minds of the estimated 37,000 attendees at the conference in Las Vegas, where The Real Deal is covering all the action at ICSC.

Mall owners are trying to think of creative ways to “Amazon-proof” their properties. GGP, for instance, is working to open up the first KidZania activity centers in the U.S., and working with Forever21 on a line of boutique shops aimed at millennials called Riley Rose.

Publicly traded retail companies are having a tough year, though. Shares of mall REITs are down 13 percent this year, compared with a climb of 1.5 percent for an index covering all REITs. [Bloomberg]Rich Bockmann


Related Articles

arrow_forward_ios
27359 South Dixie Highway and Longpoint Realty Managing and Founding Partner Dwight Angelini (Google Maps)

Longpoint buys Fresco Y Mas-anchored center in Naranja

Longpoint buys Fresco Y Mas-anchored center in Naranja
Hard Rock Cafe at Bayside Marketplace (Hard Rock)

Bayside Marketplace sues to evict Bubba Gump, Hard Rock Cafe and three other tenants

Bayside Marketplace sues to evict Bubba Gump, Hard Rock Cafe and three other tenants
Commissioner Ricky Arriola and an aerial of Sunset Harbour in Miami Beach (Compass)

Miami Beach moves toward banning chain restaurants and stores in Sunset Harbour

Miami Beach moves toward banning chain restaurants and stores in Sunset Harbour
Diane Von Furstenberg, Brookfield Properties Bruce Flatt, and the DVF store in the Shops at Merrick Park (Getty, Google Maps)

Brookfield seeks to evict Diane Von Furstenberg at Merrick Park

Brookfield seeks to evict Diane Von Furstenberg at Merrick Park
Rendering of American Dream Miami, Triple Five Group chairman Nader Ghermezian

Triple Five “inching closer” to construction on American Dream Miami

Triple Five “inching closer” to construction on American Dream Miami
4402-4678 North University Drive, Todd Nepola

Miami Beach parking lot mogul sells retail center in Lauderhill for $13M

Miami Beach parking lot mogul sells retail center in Lauderhill for $13M
Mitchell Kaplan and Books & Books at 927 Lincoln Road (Google Maps) 

Books & Books closes its chapter on Lincoln Road

Books & Books closes its chapter on Lincoln Road
Diesel USA and Original Penguin Lincoln Road stores skipped April and May rent payments: lawsuit

Diesel USA and Original Penguin Lincoln Road stores skipped April and May rent payments: lawsuit

Diesel USA and Original Penguin Lincoln Road stores skipped April and May rent payments: lawsuit
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...