Grocery-Anchored Shopping Centers Remain the Safest Retail Bet
November 21, 2019 | Liz Wolf | National Real Estate Investor
Grocery-anchored shopping centers remain a sweet spot for investors shopping for retail properties in an extremely volatile environment, and one in which overall retail transaction volume is down significantly.
Investors prefer assets anchored by grocers because they see them as less vulnerable to competition from e-commerce and a big traffic driver that benefits other tenants in their centers.
“Grocery centers are often the ones that investors are really targeting, because they’re both experiential and necessity-based,” says Arielle Weston, manager of investor research leading the retail and office platforms for real estate services firm JLL. “They feel these centers are among the safest choices they can make in retail. They recognize there’s some threat to grocery, but it’s a little bit more of a mid- to long-term threat.”
