This is an HTML version of an article that ran in the May 2014 issue of Real Estate Forum. To see the story in its original format, click here.
There isn’t a retail real estate sector that is discussed much more nowadays than the supermarket arena. Two of the biggest middle-market operators, Albertsons and Safeway, are combining, and retail observers are waiting to see what store-closure fallout could occur as a result. Meanwhile, specialty grocers focused on quality and organic products, such as Sprouts Farmers Market, the Fresh Market and Trader Joe’s, are looking for space and drawing consumers. On the other end of the spectrum, lower-priced options, such as Walmart’s Neighborhood Markets, Aldi and others, are popular with the cost-conscious shopper and fighting for space. All of this is happening in an environment with very little new retail real estate construction.
In conjunction with this month’s ICSC RECon show and Real Estate Media Thought Leaders Marcus & Millichap’s annual Retail Trends event at the conference, we bring you a roundtable discussion on where the grocery sector is headed, as well as what is taking place overall in retail real estate.
Head of Mid-Atlantic and Southeast Origination
Citigroup CMBS and CREF
Fernando De Leon
Leon Capital Group
Senior Vice President of Business Development
Sprouts Farmers Market
Michael C. Phillips
Principal, President and Chief Executive Officer
Phillips Edison & Co.
Vice President and National Director
Marcus & Millichap’s National Retail Group
Chief Investment Officer
Inland Private Capital Corp.
Retail Real Estate Reporter
Real Estate Forum