Five Stories to Watch in Retail
Whether you're headed to ICSC in Vegas next month, or just want to know what stores will be popping up across from your office, retail is relevant. We sat down with Colliers national director of retail services Anjee Solanki to spot local retail trends this year.
1) Invest, don't buy
A lot of landlords are looking at reinvesting capital in their own projects because pricing is so out of whack. Bidders coming in third and fourth see that demand is so high and supply is so little. New development is risky still, Anjee adds. She's been in the retail biz almost 20 years, and she's going on her third year at Colliers in their 50 Cal office.
2) Destination driving is back
Anjee lives in SoMa, but the idea of shopping downtown is painful, she says, referring to the 4th and Mission retail mecca. You won’t get everything you are looking for at the City Target, and there’s no desire to fight through cars, construction, and other humans, she says. Taking the bridge to Emeryville or Marin is more convenient. Oakland's The Kitchener Collective, opening at Marin's Town Center Corte Madera, is the kind of concept that wants to be in markets with a consumer with more than just a disposable income. It’s a community experience catering to shop local concepts, and also draws foodies and shoppers alike. Creating a hybrid of small shops with credit anchors creates multiple reasons to stop by, she says.
3) Tech bleeding into retail
With all the innovative tech spaces in town, why not let those designers dip their toes in retail? Anjee's team recently tapped interior designers who have worked on local snazzy offices (including Dropbox) to do the space for a new jeweler in Marin, which will open in the next three months. Top-notch retail biz operators might be of an older generation with a great product they are selling but the look and feel isn’t of today, Anjee explains, pictured here with Colliers director of S.F. operations Emily Herson.
4) The dying breeds
Anjee’s eying Barnes & Noble and Best Buy as companies that will be forced to downsize their footprints. People want to still go to the movies, but in the world of Netflix and Apple TV, theaters are endangered, too. That is, unless the entertainment venue is like an Alamo Drafthouse, where viewers get pizza and a movie, or Landmark Theatre with reclining chairs. It’s all about the overarching experience and tapping into an emotion. While ad agencies need to rethink how to bring a product to the market, so do brokers, she says.
5) Street retail is king
There’s a strong movement toward street retail versus more suburban centers, she says, and mostly in urban markets. People are seeking a neighborhood experience with tree-lined streets or outdoor cafes and non-chain restaurants. The Mission (pictured), Hayes Valley, Polk Street, the Dog Patch and other sites are open to new restaurants and boutiques. People continue to want something different, she says.
