The Houston retail market is strong and ranked 3rd nationally. As consumer preferences evolve, so does the demand for retail spaces. A couple trends that we are seeing include:
Despite the rise of online shopping, brick-and-mortar stores remain vital for experiential retail. With that being said, for retailers to stay up with the times and their customer base, they are integrating online and offline strategies.
The more Houston expands geographically, consumers are favoring local shopping destinations over urban centers. They want easy in and out retail properties in suburban areas - rather than going to large busy neighborhood centers. The consumer wants to get in & out quickly.
Leasing activity is on the rise, with several notable trends:
We are seeing increased interest in retailers opening "pop-up" stores to determine the interest of their concept/services/products to the surrounding community. This allows both the retailers and landlords to evaluate the value to each other on a shorter-term basis.
The mixed-use developments need to provide "an experience" - to provide a blend of services and entertainment options bringing the Community together. It's all about the Community.
Sales of retail commercial properties are showing robust activity, driven by:
Institutional investors and REITs are actively seeking high-quality retail properties, particularly those with strong tenant profiles and long-term leases.
Cap rates for prime retail properties remain stable, though secondary and tertiary markets are seeing slight compressions due to increased demand. Neighborhood centers range from CBD-Suburban ±6.00%-7.25%.
- Danna Sossen, Retail Advisor
EMPLOYEE APPRECIATION AT POPSTROKE
At ICO our people truly matter! ICO encourages building a culture where our team feels valued and where they receive a meaningful sense of appreciation and recognition for all that they do and for the valuable contribution they make to our organization!
One way we express our appreciation is by hosting fun events and team outings. Our team recently had a great time together at PopStroke in Katy,TX. We enjoyed great food and conversation over lunch and a friendly, but competitive, game of Putt Putt.
At the end of the day, building a culture of appreciation starts by expressing gratitude in small and consistent ways. At ICO we believe that showing appreciation is key to providing our team with a happier and more engaged workplace environment!
