The retail drug industry is undergoing consolidation, however, with creative repurposing, the closures can often create opportunities for higher and better uses that are more congruent with today’s retail market, says retail expert James Chung in this EXCLUSIVE.
James Chung was recently appointed as retail practice group leader for the west region of Cushman & Wakefield. In this capacity, Chung will provide leadership and strategic direction for the region’s overall retail leasing business and coordinate with related service lines including strategic consulting, capital markets, single tenant net-leased investments, property management and project management.
Chung discussed some of the recent retail closings, the reasons behind them, cool new concepts and interesting trends to watch in this exclusive.
GlobeSt.com: We’ve seen Macys, The Limited, Sears, CVS and Kmart announcing plans to close some or all stores just in the last month. Are we through the worst of it or could more be on the horizon?
Chung: I want to believe the worst is behind us but there could be some more carnage, particularly in the drug segment with the consolidation of the industry. However, with creative repurposing, the closures can often create fantastic opportunities for higher and better uses that potentially are more contemporary and congruent with today’s retail market.
GlobeSt.com: Are we over-retailed or is online retailing taking a larger toll?
Chung: There is no doubt online retailing is impacting the brick and mortar retail community. However, the experience retailers are providing in stores is continually evolving and attracting customers into the stores. From creative showrooming to in-store promotions, many retailers are taking advantage of the multiple contact points with their customers and are able to monetize their customer base more frequently and effectively.
Lisa Brown is an editor for the south and west regions of GlobeSt.com.