ORLANDO—A tourist haven, Orlando's retailmarket takes on a seasonal aspect that's not present in many otherparts of the country. So what retail submarkets are most demand inOrlando? And what are the hottest perennial retailcategories?

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GlobeSt.com caught up with Bobby Palta, a vicepresident with CBRE, to get his take on theseissues in part two of this exclusive interview. You can still readpart one: Orlando Emerging on Tech Scene.

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GlobeSt.com: From your perspective, is it a tenants'or a landlords' market?

Palta: The market conditions depend on the arealocation. We have some very high-demand submarkets and some thatare less so. Pricing is back to record levels. I've heard quotes onclass A product rents at $55 to $65 per square foot, which isunheard of. The flip side is that it's a tenant's market for classC product.

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GlobeSt.com: What retail submarkets are the mostin-demand in a tourism market?

Palta: Waterford Lakes on the east side of town isa hot area. We're seeing new development there and people biddingup vacancies. Winter Park is probably our hottest market. The Dr.Philips area, which touches the tourist corridor, is a mixedresidential/tourist market that's growing fast. Those are the threereally hot areas.

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We also just launched the region's first commuter train,SunRail, so we're really evolving. You can't take that next majorstep as a city unless you have mass transit. The SunRail commuterstation locations are providing opportunities for more retaildevelopment in areas such as Winter Park.

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GlobeSt.com: What are the hottest retail categoriesin your market?

Palta: The grocery sector is certainly active.Trader Joe's is here now and there's a big buzz around it.Fast-casual restaurants and full-service restaurants are active aswell.

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There's handful of aspirational retailers looking in theMillenia Mall market or the Winter Park market. We have anunbelievable retail scene centered near the outlet malls.

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Orlando has five malls that do sales of over $1,000 per squarefoot: The Florida Mall, The Mall at Millenia, Orlando VinelandPremium Outlets, Orlando International Drive Premium Outlets, andDisney Springs in Downtown Disney.

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