Category: Landlords

Following An Evolving Retail Scene In New York City

New York City, one of the world’s premier shopping destinations is about to get over one and a half million square feet of new retail space. Some will be delivered to Long Island City, an area that has been waiting for a retail resurgence for over 2 decades, and...
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Settlement Opens Door For Outer Borough Outlet Centers

In August 2017, Simon Property Group (“SPG”) and the Office of the Attorney General of the State of New York (“NYAG”) entered into an Assurance of Discontinuance (the “Settlement”) regarding alleged anti-competitive effects of radius restrictions used by SPG in leases at the Woodbury Common Premium Outlets (“Woodbury Commons”)...
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Vitamin D and Retail: But Not Without Due Diligence First

We’ve all read about the question marks floating around the fate of brick and mortar retail in America. Factors like the strength of e-commerce and shifting consumer preferences (such as the popularity of urban centers over suburbia and consumers’ yearn for experiences over traditional shopping trips) are challenging landlords...
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End Of An Era Or Simply a Moment In Time?

What conclusions can we draw from the increasing vacancy rates in prime NYC retail real estate ?  A momentary blip? Something we’ve seen many times before, only to be followed by the inevitable climb in rents to their customary stratospheric levels? Analysts claim that rents in the retail sweet...
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ICSC Mid-Atlantic Conference & Deal Making Recap

With seemingly all of the country’s attention focused on Washington DC lately, we snuck out of the District and across the Potomac River to National Harbor last week for ICSC’s 2017 Mid-Atlantic Conference and Deal Making . The conference was very well attended, and the mood among attendees and...
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Upscale Food Halls—On Trend and On The Rise

The growth of high-end food halls is taking off around the country as consumers seek fast, fresh, high-quality, chef-driven meals with a local touch, and as landlords seek to cash in on the continued growth of fast-casual dining. These boutique-style, upscale food halls are modeled more after famous European...
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The Power of Pop-ups: From Fad to Retail Mainstay

Pop-up stores or “flash retail” have graduated from passing trend to popular practice. Historically utilized for the sale of seasonal products (think temporary stores that only sell Halloween costumes ), the pop-up has evolved into an attractive option for retailers of all shapes, sizes and experience. Smaller, emerging companies...
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Are Prohibited Uses Prohibiting Opportunity?

Despite how it may sometimes seem when in the throes of negotiating a lease between a shopping center landlord and a retail tenant, the overarching goals of the two parties are aligned. Both parties want the tenant to be successful and want the landlord’s shopping center to be active...
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Off-Price Retail Therapy for Landlords: New Opportunity in the Age of Millennials

On March 2nd, after much media speculation, Sports Authority commenced a case under chapter 11 of the United States Bankruptcy Code. In its initial bankruptcy filings, the company’s CFO announced that it will close up to 200 of its 464 stores over the course of the bankruptcy case. Sports...
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New Lease Accounting Rules Are Final: Retailers and, Ultimately, Landlords Can Expect Changes

We recently wrote about expected changes to the rules governing the way leases are accounted for on balance sheets and suggested the changes would have major implications for retailer tenants and longer term implications for landlords. Late last week, as expected, the Financial Accounting Standards Board (“FASB”) issued a...
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Marijuana Retailers - Are Private Clubs an Answer to Prohibitions on Public Use?

In jurisdictions where recreational marijuana is legal, many retail entrepreneurs and commercial landlords want to understand how and if marijuana can be consumed in retail establishments.  In jurisdictions such as Colorado and the District of Columbia, where the use and possession of marijuana for recreation is legal, consumption cannot...
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Pop-Up Halloween Stores Don’t Scare Landlords

Halloween specialty stores have been popping up annually since the 1980’s and quickly became a national phenomena.  According to the National Retail Federation, the celebration of Halloween is projected to generate approximately $7.4 billion dollars this year . Pop-up Halloween stores can be big business for both retailers and...
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A Case of Caution: the Effect of Redevelopment on Existing Mall Leases

In a follow up to our other posts regarding the White Flint Mall redevelopment, the jury has reached a verdict. Until recently, White Flint Mall in Bethesda, Maryland was a prime example of retail mall success. However, as the mall began to lose tenants and customers, its owner decided...
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Blowdryers and Flatirons: The Real Estate Market Heats Up with Salon Suites

For years the price of entry for solo entrepreneurs in the health and beauty category was high. With similar fixed startup costs as any professional practice would have, such as real estate, insurance, supplies, but with much slimmer profit margins, stylists and aestheticians were often relegated to renting chairs...
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When Fashion Met Style…Spin-Off Stores

Over the past few years, there has been a discouraging rash of mall vacancies and closings, as traditional department stores and retail chains have had to close shop, lick their wounds, and get back to the drawing board in hopes of reviving their brand names and regaining a foothold...
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A “New World” of Fashion and Food

In a world of Instagram, Facebook and SMS text marketing, being fleet of foot in an ever-changing world of retail advertising and sales is the name of the game. As retailers and restaurateurs navigate the treacherous waters of effective advertising, an amplified sense of haste has motivated these proprietors...
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What The Height Act Amendment Means for DC Rooftop Development

Last week, President Obama signed an amendment into federal law allowing human occupancy in rooftop penthouses on top of DC buildings. This is an exciting update for DC real estate owners and developers because it presents a budding opportunity to build penthouses for more value and usability beyond what...
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Pop-up Retail

Picture this: you’re the owner of a building in a bustling downtown hub and you find yourself with vacant retail space in a highly visible location. The previous tenant just left and you are still looking for the right long-term tenant, though you suspect the search could take several...
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Liquor Licensing Changes in Massachusetts Impact Landlord-Tenant Relationships

Retail landlords and tenants are heavily impacted by recent changes in liquor licensing forms generated by the Massachusetts Alcoholic Beverages Control Commission (ABCC) and increased background investigations related to license applications. Although Massachusetts restaurant and package store operators have long been accustomed to disclosing financial, operational and personal information...
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Restaurant Paradox: Encouraging and Discouraging New Restaurants in Washington, D.C.

Research has suggested that zoning can have both anti-competitive and pro-competitive effects on retail establishments. The anti-competitive effects may be caused by limiting the number of certain types of retail establishments, by prohibiting some types of retailers, or by encouraging certain types of retailers over others. Other research has...
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Staying High and Dry: Considerations of Landlords and Tenants in Floods

While landlords and their tenants in areas like New York City continue to recover from flooding in the wake of Hurricane Sandy, landlords and tenants of one of Washington, D.C.’s premier waterfront destinations are still reeling from the after effects of a 2011 storm that caused severe flooding in...
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When The Unthinkable Happens: Owner Liability For Homicide In Shopping Malls

In the wake of recent open mall shootings in New Jersey , Toronto , Michigan and Texas , many observers reacted by wondering how these incidents could have been prevented and who may share responsibility for them. The extent of a property owner or landlord’s liability may be surprising....
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Landlord Considerations: Medical Marijuana Cultivation Centers and Dispensaries

On March 30th the District of Columbia Department of Health announced the first group of businesses that are eligible to establish marijuana cultivation centers as part of the District’s medical marijuana program. The businesses that will be eligible to establish marijuana dispensaries are expected to be announced in late...
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Back Bay Blackout

Hope for the best but prepare for the worst. Fires, natural disasters such as floods, hurricanes and earthquakes, and extended power outages can become dangerously “hypothetical” in the heat of a retail lease negotiation. But just ask landlords and retail tenants in Boston’s Back Bay, Chinatown, Theatre District, Kenmore...
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