Retail Pricing Up Double Digits Over Early 2017

Single-tenant retail demand is soaring in the first months of this year, a notable change from early 2017 when retail demand waned. This year, Sands Investment Group says that they are experiencing a 20% increase in retail pricing from the same time last year. The firm recently sold a Panera Bread retail property in Fresno, CA, at a record cap rate for the retailer of 4%. We sat down with John Cigliano of Sands Investment Group to talk about cap rates for single-tenant retails, and where they are heading.

GlobeSt.com: Where have cap rates for single-tenant retail properties been so far this year?

John Cigliano: We saw somewhat of a market lull in the first half of last year, but fourth quarter volume did very well, and that carried over into the first quarter of this year.  In a market where demand seems to be outpacing supply at times, as a company we are up 20% from where we were at this point in 2017.