Weekly Perl: A Commercial Real Estate News Recap

Marc Perlof • February 6, 2026
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Santa Monica's entertainment zone could expand throughout Downtown and into neighboring streets


Santa Monica officials are considering expanding the downtown Entertainment Zone, where patrons can carry alcoholic drinks while walking outdoors. The zone could grow from its current three-block area to encompass much of downtown after showing no increase in crime...


The front of an aldi store with a sign in front of it.

Interest Rates Outlook Remains Steady for CRE Buyers



The Federal Reserve kept interest rates steady, sparking speculation about sharp drops once Kevin Warsh becomes Fed chair, reports the Commercial Observer. In commercial real estate (CRE), many wonder if a new Fed approach could bring back ultra-low rates and boost property values.


However, CRE depends more on the 10-Year US Treasury than short-term Fed actions. Inflation, fiscal policy, global capital flows, and risk premiums shape long-term Treasury yields. These factors go beyond Fed leadership and hold greater influence over market trends...

An empty luxury cinema with rows of plush red leather recliners, some with popcorn and drinks on the armrests.

Cinema Industry Revival Spurs Premium Experience Growth

According to Bisnow, the US cinema industry is rebounding 
after years of decline. Rising demand for premium large format screens and luxury dine-in theaters is driving this recovery. Christopher Nolan’s upcoming film Odyssey has fueled early interest. Imax 70mm tickets sold out months in advance and now resell for high prices.


Although US movie screens declined 12% since 2020, the industry added locations in 2025. Screen count rose 2%, marking the first net growth in five years. Analysts credit this shift to a consumer focus on immersive, event-style viewing over standard multiplexes...

A multi-level outdoor shopping plaza with parked cars lining the parking lot, centered by a large palm tree at sunset.

Retail Rebound Drives Selective Conviction in Shopping Centers


Principal Asset Management reports that retail real estate is experiencing a 
targeted resurgence, with institutional investors focusing on open-air shopping centers that meet strict quality standards. While the sector as a whole benefits from rising tenant demand and renewed importance of physical stores, only a small portion—roughly 6–10%—of available space meets the criteria for core, institutional investment...

A person walks through a brightly lit mall carrying several white shopping bags labeled

Store Expansion News: January update


Retailers and restaurant chains alike kicked off 2026 by making headlines in January with store expansions and new formats.

Here are the major stories as reported by Chain Store Age, starting with the most recent.


  • Starbucks to open 150 to 175 U.S. stores in 2026; sees 'big' long-term opportunity The coffee giant expects to open approximately 600 to 650 net new cafes this year, including 150 to 175 U.S. company-operated stores and 450 to 500 international locations. China, Starbucks’ largest market outside of the U.S., comprises close to half of the international total...
A Dollar Tree

Americans spend big on ‘retail therapy;’ here’s on what and where...


The practice of “retail therapy” is alive and well, with Americans spending thousands a year to boost their mood.

The average American makes 107 retail therapy purchases per year, according to a new survey from CashNet USA, which defines retail therapy as the act of “shopping to relieve feelings like stress, boredom or frustration. Millennials (aged 29-44) make the most (160) amount of retail therapy purchases per year, with baby boomers making the least (39) amount...

Storefront of an Eddie Bauer shop inside a mall with multiple signs announcing a store closing sale.

Outdoor apparel retailer Eddie Bauer starts closing down its stores

Another chain has joined the list of retailers shutting stores this year as outdoor apparel seller Eddie Bauer has begun holding liquidation sales throughout its brick-and-mortar locations.



The Bellevue, Washington-based retailer, with roughly 180 locations in the United States and Canada, has kicked off store-closing sales across the nation. Catalyst Brands, which operates the Eddie Bauer stores, is preparing to file for Chapter 11 for the chain, as first reported in early January by Octus and later by WWD...

An Amazon Fresh grocery store exterior with a

Here are the grocers that could take over Amazon Fresh’s soon-to-close space


When a retail chain closes scores of stores across the United States, commercial real estate professionals at one time used to worry about filling that vacant space quickly. But now they say there’s no lack of expanding supermarket chains that could occupy the roughly five dozen Amazon Fresh grocery stores the e-commerce giant is closing, though there is a twist involved...

A Walmart storefront under a sunset sky, featuring the blue building facade, glass entrance doors, and shopping carts.

Retail Giant Walmart Hits $1 Trillion Milestone


Walmart reached a major milestone this week, topping a $1 trillion market capitalization for the first time. Chain Storage reports that the 
company’s stock has risen over 24% in the past year, supported by strong digital business growth and expanding market share. John Furner recently took over as CEO, marking a leadership transition as the retailer continues its upward trajectory...


By Marc Perlof • November 6, 2026
CVS Health to split off its retail pharmacy business CVS Health is planning one of the largest corporate separations in history as it looks to separate its retail pharmacy operations from its insurance and pharmacy benefits business. The retail and healthcare giant, whose total revenues increased to a record high of $402.1 billion in 2025, intends to separate into two independent, publicly traded companies, with the split expected to be completed by the first half of 2028. The decision follows a “comprehensive strategic review by the CVS Health board,” the company said...
By Marc Perlof • November 2, 2026
By Marc Perlof | @MarcRetailGuy CA #01489206 November 2, 2026 If you own retail real estate, here’s what just changed for you. One of the biggest risks to a retail property is not always one owner making a bad decision. It is multiple owners failing to make a decision at all. When family members, business partners, or other co-owners delay action, the cost can show up through lost income, higher expenses, missed opportunities, weaker financing, or a lower sale price. Retail properties are often owned by siblings, spouses, business partners, LLC members, family offices, trusts, or investment groups. Each owner may have a different financial goal, timeline, and tolerance for risk. Disagreement is normal. The larger problem is having no clear process for turning disagreement into a decision. Even if you own the property by yourself today, these same decisions often become the responsibility of a spouse, children, successor trustee, or other heirs in the future. A clear decision process today can help prevent confusion later. What Do Multiple Owners Commonly Miss? Many ownership groups assume waiting is the safest choice when they cannot agree. They delay a lease decision, postpone repairs, wait to refinance, or hold off on selling until everyone feels comfortable. That may reduce conflict in the moment, but it does not stop the property from changing. Leases move closer to expiration. Deferred maintenance grows. Financing terms and buyer demand can change. Waiting may feel neutral, but its financial effect rarely is. Good properties are often held back by poor decision processes, not poor real estate. The issue becomes harder when each owner defines success differently. One partner may want monthly income. Another may want to sell and reinvest. One sibling may want to keep the property because it has been in the family for decades, while another may need cash for retirement or other obligations. None of these goals are automatically wrong. The ownership group still needs to decide which goal should guide the property’s current strategy. Why Do Ownership Groups Delay Important Decisions? Experience does not remove emotion, fear, or personal pressure. An owner may understand leasing and property values but still resist a sale because the property belonged to a parent. Another may reject a reasonable lease because the proposed rent is below what the space achieved years earlier. Another common reason for delay is the belief that retail property values will continue increasing over time. Many properties have appreciated over long periods, but that does not automatically make waiting the best financial decision. While ownership waits, leases age, capital needs grow, financing changes, and buyer demand shifts. A property’s future value depends on much more than appreciation alone. The better question is not, “Will this property be worth more someday?” It is, “Will waiting create a better overall financial result than acting today?” Owners may also delay because they want to avoid regret. They worry that selling now could mean missing a higher price later, or that completing an improvement could waste money. That fear can cause repeated delays while income, expenses, tenant risk, and market conditions continue to change. The goal is not to make a perfect decision. It is to make the best available decision based on the property’s current income, condition, financing, leases, marketability, and ownership objectives. How Can Indecision Affect Property Value? Property value is tied closely to income, risk, and buyer confidence. If ownership delays a lease renewal, buyers may underwrite more vacancy risk. If repairs are postponed, buyers may reduce pricing for future capital costs. If owners cannot agree on a sale strategy, the property may remain exposed to tenant rollover, changing financing conditions, or new competition. Indecision can also weaken negotiations. A tenant may recognize that the owners are not aligned. A buyer may question whether the group can approve terms, respond to due diligence, or close on schedule. A lender may require clear authority before moving forward with refinancing. The cost may not appear as one large loss. It often shows up through additional vacancy, higher repair costs, reduced leverage, lost rent, or a weaker offer. Over time, those smaller consequences can materially reduce value. What Should the Ownership Group Decide First? The first decision is not whether to sell, refinance, lease, improve, or hold. It is agreeing on the ownership group’s primary objective. Is the priority current cash flow, long term appreciation, preserving the property for the next generation, reducing risk, or preparing for a sale within a defined period? Once that objective is clear, the group can compare each option using the same standard. A lease proposal can be measured by its effect on NOI, flexibility, and value. A capital improvement can be evaluated based on cost, expected rent, tenant demand, and sale impact. A sale can be reviewed based on net proceeds, taxes, timing, and reinvestment options. Without a shared objective, every discussion becomes a debate over personal preferences. With a shared objective, the group can focus on what best supports the investment. Real Deal Insight I recently advised a family that owned a retail property through multiple siblings. One wanted to sell, another wanted to continue collecting income, and another wanted to wait because they believed the property’s value would continue increasing. Before discussing pricing or marketing, I helped the ownership group compare the financial consequences of each option, including projected income, future capital needs, lease rollover, holding costs, and the risks of delay. Once everyone reviewed the same information, the discussion shifted from individual opinions to the property’s investment objectives. That allowed the group to make an informed decision based on facts instead of assumptions. Strategic Advice for Retail Property Owners If your property has multiple owners, start by defining the group’s main investment objective and expected holding period. Each owner should understand whether the current goal is income, growth, preservation, redevelopment, refinancing, or sale. Then decide how major property decisions will be reviewed. The group should know who gathers the information, who has authority, what requires a vote, and how long the group has to respond. Governance and legal issues should be reviewed with the appropriate attorney, CPA, or other licensed advisor. The goal is not more meetings. It is a process that allows the group to decide before delay limits the available options. Owner Self-Assessment If your ownership group had to decide today whether to renew a major tenant, complete a capital improvement, refinance, or sell, would every owner agree on the property’s main objective and how the decision should be made? Final Takeaway Multiple owners do not need to agree on everything, but they need a clear process for making decisions before delay reduces income, options, or value. In next week’s blog, “The Hidden Cost of Waiting: How Decision Delays Reduce Property Value,” I will explain how indecision can affect lease negotiations, repairs, financing, buyer interest, and property value. If your retail property has multiple owners, I can help your group compare the financial impact of holding, leasing, improving, refinancing, or selling before indecision limits the available choices. The quality of a retail property’s decisions often depends less on the property itself and more on the process the owners use to make those decisions. Is your ownership group protecting the property by waiting, or is waiting quietly becoming the most expensive decision? Based in Los Angeles. Serving Southern California. Active across California. Advising clients nationwide. #RetailRealEstate #CommercialRealEstate #RetailProperty #PropertyOwners #FamilyPartnership #BusinessPartners #FamilyOffice #InvestmentProperty #ShoppingCenters #MarcRetailGuy
By Marc Perlof • October 30, 2026
Tractor Supply Q3 sales rise 5.1%; to moderate new store openings Tractor Supply Company delivered third-quarter earnings and sales that beat analyst expectations and said it was gaining share against most categories and metrics even as its customers remain cautious. On the company’s earnings call, CEO Hal Lawton said that elevated interest rates and reduced housing mobility are weighing on property improvements and larger projects. Pet ownership headwinds, particularly new pet acquisition, continue to affect demand in certain categories...
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