Simon Pearce’s Post

"The loop in Chicago has a vacancy rate of 30%, doubling the rate of 14.9% in 2019." Creative approaches are being discussed to fill these vacancies, including residential spaces, restaurants, and museum spaces. The trend is that individuals prefer experiences over material retail stores such as Macy's, Dillards, Express etc. The question remains: how do we reuse these empty retail spaces and turn them into experiences such as restaurants, gaming places, etc, as these often require vastly different infrastructure and amenities? Find out more in the article below: https://lnkd.in/ep_ZUsmu

One big thing that seems absent from these stories is how the value of the real estate is highly dependent on its future primary use. In one scenario, Macy's remains the tenant over the long-term in the vast majority of the properties with relatively small investment to sustain the retail business and can support market rents. With small operating margins and the business headed south, to say this is a stretch is an understatement. Another scenario is the assumption that a significant percentage of the space could readily be reclaimed for alternate retail use with minimal investment. That seems next to impossible. Another scenario has a good chunk of the space repurposed to alternate uses (office space--who wants it? residential--sure, but hugely expensive to convert. Alternate retail: maybe, but also very expensive). All of this to say my sense of the value of the real estate is very much on the low end.

🌟 Exciting Leasing Opportunity at 3105 Milwaukee Ave, Chicago 🌟 As a CRE Development Advisor in the pulsing heart of Chicago, I’m thrilled to offer a first look at our newest luxury building retail spaces. We’ve tailored these spaces to embody sophistication and innovation, catering to the dynamic lifestyle of today's high-tech professionals. These retail spots are more than just locations—they are stepping stones for businesses ready to elevate their brand to the next level. With three distinct units available, they serve as the perfect backdrop for a variety of upscale enterprises—from a tranquil medical spa to a refined wellness product boutique, to an inviting health food café. 🔍 We're on the lookout for visionary tenants who appreciate the blend of luxury and functionality. But this leads me to an important question: What does the ideal retail space look like for a brand aiming to make a significant impact in a bustling urban setting like Chicago? Let’s discuss the future of retail and how these spaces could be the key to unlocking your brand’s potential. I invite you to join the conversation below or direct message me for an exclusive tour. Let's craft the perfect space for your luxury brand together. #ChicagoRetail #LeasingOpportunity #LuxuryRetail #CRE #RetailSpaces #BusinessGrowth #ChicagoBusiness

Retail Construction Projects & professional insight The #retail #industry has evolved significantly since early 2010, and these changes have reshaped how we approach retail #store #design and #construction In the early 2010s, retail construction was focused on maximizing #space #efficiency and accommodating rapid #expansion. Fast forward to today, and the focus has shifted toward creating immersive #customer experiences, optimizing space planning, and enhancing customer #movement within stores. With the rise of #ecommerce, brick-and-mortar stores are no longer just places to #shop ; they are experiential hubs that must seamlessly #integrate with #digital platforms. Store #layout have undergone a transformation, with an increased emphasis on #open spaces, flexible layouts, and strategic #placement of #display items. Every square foot now counts toward creating an #environment that attracts and retains customers. Space planning must consider the efficient flow of customer #traffic and the #strategic #placement of products to #drive impulse #purchase and maximize #revenue per square foot. My Contributions to Retail Construction Projects: Throughout my career, I have been deeply involved in the planning, designing, and #execution stages of retail construction projects. My role involved 30% Store Layout Design, 20% #building #Approval, planning, #blueprint reading, construction #drawing, and 50% of internal/external #stakeholder #coordination With the #global retail market expected to grow by over 5% annually, effective #projectmanagement is more important than ever. As I prepare to #graduate in the coming weeks, I am eager to #apply my blend of #professional experience and #academic #knowledge to new #opportunities in the retail industry. I am confident that my #expertise in retail construction and project management can #help drive #success in any retail #business If you or someone in your #network is looking for a #skilled professional with a deep understanding of construction and project management, I would love to #connect #hire #recruit #recruiter #graduate #student #candidate #masters #opportunity #opentowork

Update: Exciting Progress and New Milestones! The last four weeks have been incredibly busy for us at Furniture Outlet, and the skies are looking brighter than ever! ☀️ As many of you know, we faced a significant challenge last Christmas when one of our main distribution warehouses was devastated by fire (through no fault of our own). Fast forward to today, and I’m thrilled to report that 50% of the new steel framework is up, and construction is moving along swiftly. We’re optimistic about being fully operational again early next year—what a milestone that will be! On another exciting front, last week we officially moved into our brand-new Head Office at Phoenix House, Basildon, Essex. This modern space is the perfect base as we continue to roll out our 20-store expansion programme. Speaking of which, I’m delighted to announce that we’ve secured a prime retail unit in Charlton, South East London. The 20,000 sq ft space is located in one of the region's most prominent retail parks, and for the first time, Furniture Outlet will be positioned alongside some of the UK's leading retailers. This is a significant step forward as we bring our brand to more premium retail parks, which will play a crucial role in our expansion strategy. None of this would be possible without our amazing team. Their resilience, dedication, and passion have driven us forward through every challenge and continue to make these successes possible. I couldn’t be prouder of the team we have in place to bring our vision to life! Exciting times ahead for the team, and we look forward to sharing even more progress with you soon! #BusinessUpdate #ExpansionPlans #RetailSuccess #NewBeginnings #FurnitureOutlet #GrowthMindset #AmazingTeam #RetailIndustry #Teamwork #NewOffice #LondonRetail #ExcitingTimes

Are cities behind rising retail vacancies? The argument is in an effort to make neighborhoods more walkable the requirements for ground floor retail are creating more retail space than neighborhoods actually need https://lnkd.in/gXiZRFED

📈 Commercial Real Estate Trends Update 📈 At The Outlier Group, we're seeing some exciting developments in the commercial real estate market, particularly in the medical and retail sectors. 🔹 #Medical Office Buildings (MOBs): The demand for MOBs is on the rise, with an increasing number of investors recognizing their value. In New York, medical office spaces have expanded by 16% since 2019. These properties offer long-term leases and a stable tenant base, making them a recession-proof asset class. This trend is gaining traction nationwide as investors look to diversify their portfolios with reliable assets. 🔹 #Retail Sector Resurgence: The retail market is bouncing back, fueled by experiential retail strategies that attract foot traffic. Major urban areas like New York City are seeing a renewed interest from institutional investors. Retailers are leveraging lower real estate prices to expand their physical presence, capitalizing on the evolving market landscape. 🔹 Innovative #MixedUse Developments: In Texas, new projects are blending hotel and residential spaces to meet diverse market needs. For instance, Pinnacle Hotels plans to expand its DoubleTree site in Austin with two new towers, combining hotel and apartment units. This reflects the ongoing trend of mixed-use properties that cater to a broad range of consumers. Stay tuned for more updates and insights from The Outlier Group as we continue to navigate and shape the commercial real estate landscape. #CommercialRealEstate #CRE #MedicalRealEstate #RetailTrends #InvestmentOpportunities #TheOutlierGroup --- Sources: - Commercial Property Executive - CRE Daily - Commercial Observer - Connect CRE

Although vacancy rates among office buildings and lab space in #Boston typically get the most attention, one particular sector of commercial real estate is currently seeing a bright spot: retail. To explore what factors are behind this trend for Boston #retail, check out our recent blog by Lauren Durniak. https://loom.ly/x1PdT38 #IssuesGroup

Thank you to the Commercial Observer and Mark Hallum for the opportunity to share thoughts on San Francisco retail. In spite of high profile closings, there remains much to be optimistic about. Here's a couple: i. Department Stores - Believe it or not, Nordstrom and Macys would like to have a store in San Francisco, just not 312,000 SF and 400,000 SF! Entirely possible in coming years both companies 'right size' and open smaller prototypes. Macy's may lease back a smaller portion of their existing building as part of the future sale. ii. Financial District - Yes, high vacancy, but retail touring activity, sign calls and LOI negotiations are up substantially over Q1 2023. Recoveries start with local businesses. Opportunity seems to be outweighing exposure. You can have a profitable business so long as your occupancy costs are in balance with your sales. Landlords and Retailers are working more closely together than ever. iii. Neighborhoods - Performing very well. Pedestrian retail streets have very limited vacancy with rents at or exceeding pre-pandemic levels. Several neighborhood requirements on behalf of clients unfilled to due lack of availabilities. Fillmore, Chestnut, Union, Hayes street pandemic vacancies have mostly been filled. iv. City Hall - Moderate voices on public policy, zoning and supporting business are winning the day. Union Square and the Financial District, in spite of high vacancies, are safer and busier. Incidents of retail theft are down and law enforcement has more support from City Hall than it has in years. This will increase customer visits and positive experiences and ultimately sales. While it will take time, what arises from the recovery process can be more relevant, meaningful and successful than what existed prior. Would not want to live or work anywhere else in the world and when i look around my office i know others feel the same! #letsgo #welovesf #recovery #jllsfretail

Steps to Successful Store Planning - 5. Operations. In 1 level stores the restrooms, offices, IT room, auditorium, beauty salon and gift wrap were always located on the main mezzanine level allowing all the available main level floor for sales with the exception of the docks and stairwells. Back when I started passenger elevators were not required between the 2 floors, ADA didn’t exist. We had a grand staircase going up to the mezzanine level for customers to access the aforementioned. The break room was smoking until it was frowned upon, that’s when smoking lounges were introduced. Managers were allowed to smoke in their offices and customers were allowed to smoke waiting for their hair appointment in the waiting area. How times have changed! In multi-level stores restrooms, offices, IT room, auditorium, beauty salon and gift wrap were placed on what was considered the non-fashion floor as the majority of square footage was designated to soft lines.