Retail centers and their landlords and tenants must adapt or die as consumer preferences and purchasing methods rapidly change. Here’s a partial list of store closures for 2017: J.C. Penney 138 Sears Holding: 108 KMart and 42 Sears Macy’s: 68 Radio Shack: 187 (552 by 2020) Abercrombie & Fitch: 60 Gap: 175 Guess: 60 Wet Seal: 171 Crocs: 160 The Limited: 250 American Apparel: 110 BCBG: 120 Payless ShoeSource: 400-500 GameStop: 150+ Staples: 70 CVS: 70 Read more

The San Diego regional economy remains healthy, posting its 5th straight year of positive job growth, with unemployment currently at only 4.2%. The regional apartment market remains strong for investors -- with rents forecasted to have sustained growth of 3%-5% and vacancy rates forecasted to hold steady at 5% county-wide in 2017 -- due to high demand for rental housing. Buyer demand remains strong as investors and 1031 exchangers search for both turnkey and ... Read more

In 2017, the Federal Reserve Board projects at least three interest rate hikes of 0.25% each; and cap rates are expected to increase by 100 basis points. Be careful with low cap rate investments!     Read more

The US real estate market anticipates at least two economic policies will occur as a result of the Trump election: (1) the lowering of corporate tax rates and (2) deregulation of the capital markets.  Beneficiaries of such changes include the banks, all incorporated businesses, and owners of high-priced homes. The increase in after-tax earnings retention has already caused the stock market to rally since the election. Not surprisingly, mortgage applications have already declined by nearly 10%. ... Read more

Although many states have legalized marijuana, the possession, distribution, and cultivation of marijuana remains illegal under the federal Controlled Substances Act. Because federal law still prohibits the use or sale of marijuana, any individual or business providing services to marijuana-related businesses (MRBs) could be subject to criminal charges for aiding and abetting, or conspiracy.  The receipt or transfer of proceeds from the sale of marijuana, such as rent from an MRB tenant, is a violation ... Read more

Small and start-up business entrepreneurs have the opportunity to test, market and sell their products and services in a retail mall or shopping center, with minimal lease liability, through pop-up store leasing. Increasingly more malls and shopping centers now lease to "pop-up" stores for periods as short as 30 days, even during the busiest time of year for retail shopping. In fact, many shopping centers now have space allocated year-round for pop-up stores, as a ... Read more