Robert Hill, founder and President of Retail Sites, LLC joined a panel hosted by the Mid-Atlantic Real Estate Journal and Linda Christman along with Matthew Harding, Chief Executive Officer, Levin Management Corp., Kevin O’Hearn, Senior Managing Director, JLL Capital Markets, Robert Heidenberg, President & CEO. and moderator Josh Lazar COO of Heidenberg Properties Group to discuss Opportunities and Trends in the Retail Industry.
The discussion talked about topics such as: What the customer is seeking today both in terms of services and products but also experiences and how mixed uses and reduced parking demands are influencing center design. Several panelists described new projects in the works and renovations and expansions of existing centers throughout the Mid-Atlantic region. Attendees were curious about how townships and zoning codes are responding to new uses and the proliferation of drive through lanes.
Several key themes emerged from the discussion: First, that occupancy rates are historically low due to strong demand and low rates of construction. Second, is that tenants are expanding at a steady pace but seek to have landlords fund increasing amounts of fit up costs. Thirdly, the investment sale market is very active, and grocery anchored centers remain a favored asset for buyers of all types. In summary the retail market seems to be in a strong position now after a period in which the customers and institutions had begun to feel that the internet was going to render the industry irrelevant.