It might seem like we’re going through some tough times in the retail real estate industry, but it could be much worse compared with what the industry faces globally. London-based John Strachan, head of global retail at Cushman & Wakefield told us that things in the US are performing better than the rest of the globe.
“You guys are feeling a lot better about yourselves than a year ago,” he told us. “The sense from Europe is that America is doing better.”
In fact, American retail brands are leading the charge in other countries. Strachan counted Abercrombie & Fitch, Apple, Gap, Disney Stores and other US-based brands as the most prolific in global expansion.
Don’t expect any pickup in tertiary markets yet, though. Strachan forecasts that these chains are only interested in the major population centers of the US and beyond.
Meanwhile, Robert Kline, the head of RW Kline Cos., sees some retail real estate buyers taking more risks. “People are taking more of a risk now than they used to,” he told us.
We also heard that Seattle’s Best Coffee, a subsidiary of Starbucks, is looking to expand. Additionally, Jersey Mike’s Subs, who we had a video interview with at the CBRE booth, is looking to open upwards of 150 stores in years to come.
Some of those small vacant spaces might get filled up.
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