E-Commerce Resistant! Strip Centers continue to be a desirable asset class for investors to own. The shopping center tenant mix is usually composed of more internet resistant and service-based uses, concepts from restaurant to medical to daily service needs. The locations of these properties traditionally are in the middle of neighborhoods and can conveniently serve the local population. Strip Centers with good signage, parking, and accessibility will continue to be in high demand.
Why is the strip center investment in demand and why does it continue to be a desirable asset for investors? This is not a fair question for me because personally I am biased on the asset class, however, here are a few points to help you see my view as to why I am so bullish on the sub-sector. Strip Centers typically encompass tenants who are usually more internet resistant or service-based uses. Concepts such as wellness, selfcare, professional services, health, restaurant, medical, and local retail. The asset serves as a destination where the surrounding local population can “conveniently” shop to support their daily and weekly needs. Depending on the configuration of the building and the uniqueness of the structure, the landlord can either reduce or expand the space of an adjacent unit to accommodate the needs and desires of a tenant. If positioned properly, this asset remains to give you the flexibility desired to meet changing demands especially as retail continues to morph and evolve.