Daily Needs Users Want More Space

Tim Genske is a SVP at CBRE.

LOS ANGELES—Daily needs retail users are going to drive retail development in 2017. The retail niche was a major driver of the market in 2016, and it isn’t expected to slow down this year, according to Tim Genske, SVP at CBRE and a retail expert. Daily needs users, especially smaller users, are experiencing major growth and are looking for new locations.

“The daily needs are going to continue to drive retail development and opportunities,” Genske tells GlobeSt.com. “The grocery market is competitive, and the convention markets in the middle—Vons, Ralphs and Albertsons, are fighting to keep turf. They keep shrinking in the percentage of the grocery business that they control, and Sprouts and Smart and Final are encroaching it their business. The big box grocery is not as active, but there is still a lot of demand for new stores from those up-and-coming chains. Those chains are looking for more space. That is not going away. Daily needs is going to continue to be a catalyst for new development in retail.”