Shopper & Consumer Trends Are Causing This Movement In Retail Real Estate

By: Taro Chellaram /Real Estate Articles/Jun 19, 2023

Shopper & Consumer Trends Are Causing This Movement In Retail Real Estate

It is an understatement to state that the pandemic created a shift in market trends and consumer behavior. The post-covid era created a new awakening amongst consumers and despite forced resistance, in how major shopping centers and retail strips work and engage with their customer base. The onset of the post-pandemic era brought with it, decline in retail sales and saw a shift in investment habits from traditional retail towards other kinds of commercial real estate. This, however, is set to change.

The drop in retail traffic caused by COVID-19 is unlike anything observed in recent times, but there is a silver lining to this gray cloud; It has sparked a renewed interest in change. Real estate experts, investors and market specialists are seeking accurate and reliable information which can assist change. Retail is taking an about-turn and is on track to be a significant driver in the economy's future growth. The question, however, remains - Is physical retail shopping a thing of the past? The short answer to this is No! The Directory of Major Malls (DMM) dataset demonstrates the transformational revival that is reshaping brick-and-mortar development and utilization. The pandemic did shift the retail market to an online platform, but not to the extent of causing a permanent vanishing of physical retail centers, nor did it cause any economic concerns in the long run. Shopping centers and malls are making a comeback, reemerging in a spectacular manner. According to an analysis of recent data managed and sold exclusively by DMM, "More than 20% of larger conventional enclosed malls have plans to convert to hybrid configurations that combine retail, office, residential, and other alternative uses in the next few years." 

We’ve curated a list of important questions one must ask when planning on investing in real estate, specifically retail investment:

  • What is the current status of the anchor space vacancies linked with major retail complexes and malls?
  • What is each center's tenant mix, and the diversity changes over the past years?
  • Which owners/developers contribute the most and least to the shopping center or retail strip?
  • What is the total leasable area?
  • What are the categories other tenants fall under?
  • What is the current and past foot-traffic of the shopping strip?
  • What demographic components are in a 1,3, and 5 mile radius?

According to the National Retail Federation, retail sales in 2021 are projected to amount somewhere between $4.33 trillion and $4.4 trillion. This is a huge increase that will undoubtedly include sales from both, existing and future shopping centers, retail strips, and malls. The right time to invest in retail centers is now. Take advantage of these changing times and begin your process of wealth creation and accumulation. Real estate investment can be risky and needs the overview of an expert or professional. TC Global Commercial can help you with such real estate needs and more. Begin your investment journey with TC Global Commercial by getting in touch with one of our experts in the industry.



Who Should Invest In Commercial Real Estate

There are several reasons why someone would choose to invest in commercial real estate.

Revolutionizing Student Housing: Advancements in Development and Design

Capital Market Challenges and Design Evolution in Student Housing Development: Navigating Financing Hurdles, Innovative Trends, and Future Prospects in 2024

Dussehra: A Festival of Victory and Renewal

Dussehra, also known as Vijayadashami, is a major Hindu festival celebrated with great enthusiasm across India. The festival symbolizes the eternal victory of good over evil, rooted in two legendary tales.

Where To Find Real Estate Investment Opportunities In The Current Market

Commercial Real estate investors, looking to maximize profits have set their sights on Texas. The Lone Star State has made a name for its self as a strong market for Commercial Real Estate Investors.

How increase in interest rates will affect the real estate market in 2022

2022 has proven to be a pivotal year for the housing and real estate market. With the ongoing Ukraine war on one side, and the rising interest rates on the other, the housing market is seeing a shift from the post-Covid boost.

Crypto is changing the real estate industry. Invest in real estate using crypto currency!

With the economic inflation rising, the real estate and financial market is undergoing changes. Crypto currency is the new trend in real estate and in the investment world as more people are using crypto to invest in real estate.

Purchasing Commercial Real Estate? Consider These 5 Things Before You Buy

Whether you are a seasoned investor, or you\'re researching for your first property there is always a certain risk factor that makes us hesitate before signing the dotted line.

Navigating the Future of Real Estate: Trends in Houston and Beyond

the real estate landscape is rapidly evolving, with online homebuying, smart home integration, and virtual interior design becoming increasingly prevalent.

Houston is the best real estate market for industrial spaces in the country as of 2023

Houston\'s industrial market has experienced impressive activity and has been recognized as the nation\'s top industrial market 2023.

What REIT Means And How You Can Make Big Bucks With It!

What if you were told that you could earn regular dividends from your investments without the hassles relating to buying, managing or even financing a property?


Instagram

@ tcgcrealestate

Subscribe Now! IT's Free

Stay up to date with all news coming straight in your mailbox.

Copyright © 2025 TC Global Commercial. All rights reserved.