Many of the country’s shopping centers have relied on certain anchor stores for decades. However, many of them failed to survive the 2010s. The retail industry took several hits during the last decade, and as a new decade begins, store owners, developers and property owners will need to rethink how they do business. Keeping up with online stores like Amazon has proved expensive for many retail giants who used to serve as profitable anchor stores for shopping malls and shopping centers across the country, including many here in California.
The last decade saw a significant change in how people shop. As more and more people discovered the ease and convenience of shopping from their living rooms, brick and mortar stores struggled to keep up. They spent millions of dollars trying to do so, and it resulted in bankruptcy for some chains.
Amazon and changing consumer shopping habits were not the only factors influencing the demise of some store chains. Reducing their physical footprints contributed as well. In an effort to survive, store closures across the country increased. Experts predict that the trend will continue, which means that developers will need to get creative in order to save their shopping centers.
Developers will need to take a closer look at the communities in which they want to build. With the wide array of consumers across the state of California, this could prove challenging. There could be significant changes in the commercial real estate landscape in the coming years as everyone involved attempts to find ways to remain relevant and viable as the retail world continues to evolve.