To Remain The ‘Cornerstone Of American Retail,’ Malls Should Pursue These Tenantsby Lara O'Keefe
As American malls are forced to adapt in response to changing consumer preferences and the rise of e-commerce, landlords have increasingly turned to healthcare and restaurant tenants to drive traffic.
A new CBRE study found that on average, department stores fill nearly half of malls’ gross leasable area with apparel, while accessories typically occupy another 29%. These two categories are experiencing the slowest growth in retail at present, particularly because shoppers can purchase those products online via their computers and smartphones with ease. Restaurants, home furnishings and health and beauty retailers are the top performers in retail, the report shows, though restaurants only accounted for 4.6% of mall GLA, and home furnishing tenants account for 1.6%. Then there is the health and personal care segment, which accounts for 1.2% of malls GLA, CBRE reports.