In this Retail Retold Replay, we revisit Chris Ressa and Karly Iacono's top five predictions for retail real estate in 2024. They explore the dominance of suburban markets, the increasing focus on sustainability in retail properties, the shift towards flexible store sizes, the muted development pipeline, and the optimistic outlook for deal-making in the coming year. The conversation highlights the evolving landscape of retail and real estate, driven by changing consumer preferences and market dynamics.

What do you think? Did they get it right?

Takeaways

• Suburban markets are expected to dominate retail real estate in 2024.
• The trend towards sustainability is gaining momentum in retail properties.
• Retailers are shifting towards flexible store sizes rather than strictly adhering to prototypes.
• Development activity is likely to remain muted due to high construction costs.
• There is optimism for increased deal-making in the second half of 2024.
• Remote work trends are influencing suburban migration and retail dynamics.
• Green initiatives in retail are becoming more financially viable and attractive.
• Retailers are becoming more adept at inventory management and logistics post-COVID.
• The retail landscape is evolving beyond traditional cookie-cutter store formats.
• Market conditions are creating opportunities for creative deal-making strategies.

00:00 Introduction to Retail Predictions for 2024

03:15 Suburban Dominance in Retail Real Estate

11:10 The Green Revolution in Retail Properties

16:31 The Shift Towards Flexible Store Sizes

21:49 Muted Development Pipeline for 2024Summary