United States Retail Outlook - Q2 2018

As anchors like Sears and Bon-Ton and big boxes like Toys “R” Us closed their doors in the second quarter, retail absorption has softened, as expected, and vacancy has inched up slightly. That being said, closures are only half the story. As the retail industry moves towards an experiential, service-driven entity, we are seeing radical changes in the use and layout of space. Not only is vacant space being filled by other retailers, but service-oriented uses are increasing and defunct centers are being repurposed into mixed-use developments.