MIAMI—When it comes to retail, it's a good bet in most major metros. But some markets are clearly outperforming others. And it might not be the way you would think.

GlobeSt.com caught up with Tim Blum, executive vice president and managing director of HSA Commercial Real Estate's retail division, to get some insights in part one of this exclusive interview. Stay tuned for part two, in which he will discuss the e-commerce equation.

GlobeSt.com: What is your overarching view of the retail commercial real estate scene in 2017?

Blum: Similar to this year, our expectation is that 2017 will be yet another good year for high-barrier-to-entry regional markets. Trade areas anchored by a dominant super-regional mall such as Wauwatosa, Wisconsin—where HSA Commercial Real Estate developed the Nordstrom Rack- and Whole Foods-anchored Mayfair Collection—will continue to enjoy strong demand from expanding retailers seeking to capture a large customer base with one well-placed, high-profile location. By contrast, neighborhood retail markets with more limited trade areas will likely continue to struggle as retailers focus almost exclusively on the “A markets”

GlobeSt.com: What impact will urbanization have on the retail real estate industry in 2017? And what are the implications?

Blum: Mixed-use, high-density projects like The District in Wauwatosa, Wisconsin, are more in-demand than ever as retailers and developers alike are trying to explore ways to create the type of unique experiences that draw customers out of their computer chairs and back to the brick-and-mortar stores. The essential strategy in attracting retail shoppers—and particularly millennials who are much more inclined to shop online—is to use local restaurants, common gathering spaces, and a merchandising strategy that will motivate customers to not only visit the project, but to spend meaningful time there.

Retailers are focused on four things this holiday season. Get the inside scoop in my recent column.

MIAMI—When it comes to retail, it's a good bet in most major metros. But some markets are clearly outperforming others. And it might not be the way you would think.

GlobeSt.com: What is your overarching view of the retail commercial real estate scene in 2017?

GlobeSt.com: What impact will urbanization have on the retail real estate industry in 2017? And what are the implications?

Retailers are focused on four things this holiday season. Get the inside scoop in my recent column.

Instant Insights /

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