Weekly Retail Real Estate News
Retail Demand Keeps Rising, but at a Much Slower Pace
Despite concerns over higher costs hitting consumers and retailers in the second quarter, more retail space was occupied than was vacated for a 10th consecutive three-month period. Overall, demand for this property rose more than 10.5 million square feet in that quarter and has climbed 20.8 million square feet since Jan. 1.
Why the Future of Fast Food is ‘Phygital’
The notion of “phygital,” like many tech headliners, isn’t an invention of the pandemic. Customers walked into physical banks, yet still approached digital kiosks, long before they heard about 6-foot distancing. But what’s accelerated is the fusion. Mobile phones allow consumers to order food and pick where to get it, and how to pay. Car dealerships, doctors, and real estate agents engage virtually before somebody shows up. Hotels are booked and trips adjusted from handheld devices before parties meet at the lobby checkout.
Best Buy tops Street; expects this year to be ‘low point’ in tech demand
Best Buy reported better-than-expected second-quarter earnings and sales but provided a mixed outlook for the year amid the continuing spending pull back on appliances, computers and other electronics.
In a statement, CEO Corrie Barry said that the company still anticipates that that this year will be “the low point” in tech demand after two years of sales declines.
(Video) New Shoe and Accessories Store Coming to Promenade
Aldo sells high-end shoes, boots, tote bags, sandals and more.
Neiman Marcus, Saks Reportedly in Merger Talks, East Coast Braces for Storms, Avon Owner Mulls Sale of Body Shop Chain
Neiman Marcus, Saks Reportedly in Merger talks two longtime retail rivals, with their department store fortunes fading in recent years from competition from online and discount sellers, could become one company, according to a report Monday by the New York Post.
Rite Aid reportedly prepping bankruptcy filing
Rite Aid reportedly is preparing to file for Chapter 11 bankruptcy protection in a move to deal with its debt and lawsuits related to opioid prescriptions.
The news was first reported by The Wall Street Journal. According to the report, Rite Aid, which has more than $3.3 billion in long-term debt, is facing more than 1,000 federal, as well as a number of state-level, lawsuits over allegations that the chain contributed to the country’s opioid crisis by oversupplying painkillers such as OxyContin.
New stores help drive strong Ulta Beauty results in Q2
Ulta Beauty saw profits and sales rise in a strong second quarter.
Net income increased 1% to $300.1 million in the quarter ended July 29, compared to $295.7 million in the second quarter of fiscal 2022. Diluted earnings per share increased 5.6% to $6.02 compared to $5.70, including a $0.01 benefit due to income tax accounting for stock-based compensation.
Net sales increased 10% to $2.5 billion from $2.3 billion in the prior year quarter, which the beauty retailer said was primarily due to increased comparable sales, strong new store performance and growth in other revenue.
Rolex to acquire luxury retail brand Bucherer
Two iconic and storied Swiss watch brands are joining forces.In a move that caught the sector by surprise, Rolex said that it would buy luxury watch and jewelry retailer Bucherer for an undisclosed amount. In a statement, Rolex said that Bucherer, which has more than 100 stores worldwide, will keep its name and continue to operate independently under its current management team.
Salad Chain Green District Declares Bankruptcy
Young salad chain Green District filed bankruptcy earlier in August, citing issues with higher interest rates and an inability to pay off debt related to expansion efforts. The chain's move to scale back growth or close restaurants led to multiple legal actions, including landlord Miramar Center Associates winning $108,715.09 in damages in Florida.
Aldi deal will see Walgreens, CVS taking over pharmacy assets
The recent Aldi acquisition of Winn-Dixie and Harveys Supermarkets will not include any of those stores’ pharmacies — all of which will be managed by Walgreens and CVS, according to reporting from the Jacksonville Florida Times-Union. The agreement to outsource the pharmacies was made prior to the acquisition (Aldi does not run in-store pharmacies at any of its locations.
