Home Back Issues May 2012 Tenant trade

Tenant trade

| Print |  Email
Articles - May 2012
Monday, April 23, 2012
Article Index
Tenant trade
Page 2
Page 3


0512_Dispatches_Retail_GraphIndeed, some nontraditional tenants, such as the Lloyd Center L.A. Fitness, do benefit the establishment as a whole by producing traffic that would not otherwise exist, says T.J. Drought of Glimcher.

When neighborhood residents come to the gym to work out, he says, “it’s just another time during the week when our shopper is going to be at the Lloyd Center.”

Though Oregon retail centers have had to adjust their leasing strategies, they have fared far better than their counterparts in other parts of the country who have filled vacancies with enterprises like indoor gardens, putting greens, dog runs, aquariums and casinos.

While the average retail vacancy rate in the U.S. peaked at 7.9% during the recession, it only reached 6.7% in Portland, 6.6% in Salem and 5.4% in Eugene, according to CoStar. (The vacancy rate in Atlanta, by contrast, peaked at 10.7%.)

Oregon suffered less in part because its cities’ urban growth boundaries prevented the type of endless, sprawling development that breeds an overabundance of shopping malls. Because of this supply constraint, retail inventory in Portland only grew by 13% over the past decade, compared to 17% nationwide. (Portland is the only Oregon market for which CoStar provides comprehensive coverage.)

“The local government and culture in Portland tends to backlash against large developments such as Super Wal-Mart and Target that the rest of the country loves,” says Carlos Ortea, a CoStar real estate economist. “It’s more of a culture of wanting to have smaller spaces, and less.”

Jesse Tron of the International Council of Shopping Centers says it’s too soon to know whether nontraditional tenants will become long-term fixtures in the shopping centers they are currently inhabiting.

“My guess is that a lot of centers would bring back the more traditional retail tenant,” he says, “but it all depends on if they see added value with nontraditional tenants in the mix.”



 

More Articles

OB Poll: Wineries and groceries

News
Friday, October 24, 2014

24-winethumbA majority of respondents agreed: Local vineyards should remain Oregon-owned and quality is the most important factor when determining where to eat or buy groceries.


Read more...

Grape Expectations

October 2014
Thursday, September 25, 2014
BY HANNAH WALLACE

Well-financed outsiders from France and California are buying up vineyards and wineries in the Willamette Valley.


Read more...

A Taste of Heaven

September 2014
Tuesday, August 26, 2014
BY VIVIAN MCINERNY

Craft beer comes to Mount Angel.


Read more...

Books Rule

October 2014
Thursday, September 25, 2014
BY JON BELL

Powell's stays relevant in the digital age.


Read more...

A Recipe for Success

October 2014
Thursday, September 25, 2014
BY LINDA BAKER

Two businesswomen, two iconic food brands and one food-obsessed city. We thought this sounded like a recipe for good conversation. So in late August, Oregon Business sat down with Wendy Collie, CEO of New Seasons Market, and Kim Malek, owner of Salt & Straw, to discuss their rapidly expanding businesses and Oregon’s trendsetting food scene.


Read more...

Gender Code

September 2014
Tuesday, August 26, 2014
BY COURTNEY SHERWOOD

Janice Levenhagen-Seeley reprograms tech.


Read more...

Semiconductor purgatory

News
Monday, October 06, 2014
roundup-logo-thumb-14BY LINDA BAKER | OB EDITOR

Intel's manufacturing way station; Merkley's attack dog; Diamond Foods gets into the innovation business.


Read more...
Oregon Business magazinetitle-sponsored-links-02
SPONSORED LINKS