Latest Retail News
Schuckman Realty’s roundup of the headlines shaping today’s retail and commercial real estate landscape. Stay informed about the trends impacting tenants, landlords, and investors.
Rising Global Tensions Add Complexity to the Path Forward for CRE
Geopolitical shocks, inflation pressures, and shifting Fed expectations are reshaping the commercial real estate landscape — but CRE’s strategic role as an inflation hedge and durable hard asset is strengthening.
Geopolitical Shock Reignites Inflation Risk
- The Middle East conflict has pushed up prices for key commodities and transportation, contributing to renewed inflation pressures.
- Elevated oil and gas prices are the most visible economic impact, but higher costs for other commodities transiting the Strait of Hormuz also pose potential headwinds.
- Since late February, prices for fertilizer components — critical to agricultural production — have increased more than 50%.
- Helium prices, an essential input for semiconductor and electronics manufacturing, have risen 10–20%.
- Transpacific shipping costs are up roughly 35%, while flatbed trucking rates used to move shipping containers across the U.S. are up approximately 26%.
- The March CPI rose to 3.3%, an 85-basis-point rise from February and the largest single-month gain since 2021.
- The March PPI climbed 60 basis points to 4%, signaling rising input costs for manufacturers and other businesses.
Policy Trade-Offs Intensify
- Diverging economic signals are shifting market expectations and narrowing the Federal Reserve’s room to maneuver.
- Rising fuel costs and persistent uncertainty have weighed on consumer sentiment, which fell to a record low in March, while job creation remains well below historical norms.
- Elevated inflation risk and slowing economic growth are making the Fed’s policy decisions increasingly complex.
- Policymakers face competing pressures to maintain higher rates to curb inflation while also considering rate cuts to support economic activity.
- Financial markets are currently pricing a 30% chance of at least one rate cut by year-end — a sharp contrast from earlier this year when Wall Street was calling for up to three cuts.
- Shifting rate expectations following the conflict pushed the 10-year Treasury yield nearly 50 basis points higher to around 4.4%, before stabilizing near 4.3% at the start of April.
CRE’s Strategic Role Strengthens
- The asset class continues to serve as a diversification tool, an inflation hedge, and a hard asset with durable value retention — especially during uncertainty.
- Commercial real estate lenders widened their rate spreads as the 10-year Treasury yield rose; as Treasury yields stabilized, lender caution eased, returning borrowing costs to late-2025 levels.
- Bank lending rates for commercial assets have reverted to the low- to mid-6% range, while agency-backed multifamily financing has settled in the mid-5% band, suggesting CRE transaction velocity should sustain momentum.
- Capital flows into CRE-targeted funds increased 36% in 2025 from 2024, with an estimated $285 billion of undeployed capital targeting the sector.
- Competitive yields, durable cash flows, and inflation-hedging characteristics are increasing CRE’s appeal — further reinforced by financial market volatility and rising inflation.
- Last year, commercial property transactions over $2.5 million rose 17.3%, and the Mortgage Bankers Association projects a 15% rise in CRE lending activity in 2026.
- These dynamics suggest an optimistic outlook for CRE in 2026.
Tractor Supply Q1 Sales Rise 3.5% on Record Store Growth
Tractor Supply opened a record 40 stores in Q1, with new store productivity in the 65–70% range. Comparable store sales rose 0.5%, and the company reaffirmed its FY2026 outlook of 4–6% net sales growth and 1–3% comparable store growth, with net income expected at $1.11–$1.17 billion.
Circana: Spending Rises in March, but Underlying Pressures Signal Caution Ahead
U.S. retail sales increased 3.3% year over year in March, with unit demand up 1% across discretionary general merchandise, retail food and beverage, and nonedible CPG. While the gains signal continued resilience, calendar shifts and changing behaviors among income groups warrant caution.
Target Details New Store Openings
Target is opening six stores across four states in April as part of its $5 billion 2026 capital investment plan, which includes 30+ new stores and 130+ remodels. Five of the April openings exceed Target’s 125,000-sq-ft average. Additional locations are planned for Mesa, AZ; Farmington, MO; and Mebane, Fayetteville and Lincolnton, AL.
Survey: Package Theft Totaled $12.8 Billion in 2025
An Omnisend survey combined with FBI data reveals 30% of U.S. households had a package stolen in the past year, totaling roughly 228 million stolen packages and $12.8 billion in losses. 62% of victims received a refund or replacement (costing retailers ~$7.9 billion), 16% received a discount or store credit, and 24% of retailers refused responsibility entirely.
CoStar: Retail Rent Growth Slows to 1.9% in Q1
U.S. retail asking rent growth slowed to 1.9% YoY in Q1 2026, extending a downward trend that began in 2024. Sunbelt markets including Phoenix, Orlando, Atlanta, and Charlotte still posted solid YoY gains but at decelerating rates as asking rents plateau.
Survey: Majority of Supply Chain Leaders Aiming to Reduce Environmental Impact
Per Blue Yonder’s 2026 Supply Chain Compass: 66% of leaders are actively working to reduce their supply chain’s impact, and 47% of large enterprises have created dedicated sustainability teams. Supply chains are responsible for 60% of global carbon emissions.
Owner of Men’s Wearhouse ‘Confidentially’ Files IPO
Tailored Brands Inc. — parent of Men’s Wearhouse and Jos. A. Bank — has confidentially filed for an IPO. The 53-year-old company first went public in 1992 but filed for bankruptcy in 2020. John Tighe was recently appointed CEO, succeeding Peter Sachse, now executive chairman.
Primark to Become Stand-Alone Company
Associated British Foods (ABF) plans to separate its FoodCo business from Primark, the budget-fashion retailer. The “demerger” is expected to take effect before the end of 2027, subject to approvals and tax clearances.
Batteries Plus Supports Franchise Growth With Store Network Visibility
Undergoing significant franchise expansion, Batteries Plus is rolling out a new network health monitoring portal after its previous managed services provider could not adequately support its larger fleet. The new dashboard will give corporate and franchisees insight into store network performance, alerts, and ROI.
Nordstrom Rack Adds More Stores to Fall 2026 Lineup
Nordstrom Rack has added four new fall 2026 locations — two in Colorado, one in Michigan, and one in Texas — as Saks Global scales back its off-price presence by closing 57 Saks Off 5th stores and four Last Call stores.
Walmart Continues to Lose Grocery Market Share
Per Numerator: Walmart’s grocery share is now 19.9% (down from 20% in 2025 and 20.4% in 2024). Costco rose to 8.2% (from 7.9% / 7.6%). Kroger remains #2 but slipped from 8.8% (2024) to 8.6% (2025) to 8.3% (2026).
Target Details New Store Openings
Target is on track to build more than 300 stores by 2035. Six new locations open across four states in April, part of a $5 billion 2026 capital plan including 30+ new stores and 130+ remodels. Five of April’s openings exceed 125,000 sq ft.
A&G Puts Walgreens Leases on the Market
A&G Real Estate Partners is seeking offers for 60 leases and 18 fee-owned land parcels and stores across 27 states and Puerto Rico as Walgreens trims its footprint. The buildings range from 2,070 to 23,509 sq ft, with undeveloped fee-owned parcels ranging from 0.12 to 20.86 acres.
Specialty and Discount Grocers Outperforming Traditional Competitors
Per Consumer Edge’s U.S. Grocery Outlook 2026: overall grocery spending declined ~3% YoY (12 months ended Feb 28, 2026), but specialty and discount banners — including Trader Joe’s — continue to outperform and resonate with shoppers.
Most Grocery Shoppers Purchased Both Online and In-Store in 2025
Per FMI & NielsenIQ: 93% of grocery shoppers in 2025 used both online and in-store. Total U.S. online grocery sales are projected to reach $452 billion by 2028. In 2025, online sales drove ~75% of total grocery dollar growth, with online food sales up nearly 19%.
Canadian Grocer Sobeys to Invest $51M in Electronic Shelf Labels
Sobeys is partnering with JRTech Solutions to deploy electronic shelf label technology and Pricer’s Plaza cloud-based platform across an estimated 300–350 stores.
Lowe’s Continues Growth With Florida, Texas Stores Planned
Lowe’s will open the first of five new 2026 stores in Port St. Lucie, FL, in early June — its 133rd Florida location. The ~94,000 sq ft store includes a 30,000-sq-ft garden center, 100+ associates, and redesigned kitchen and appliance showrooms.
McDonald’s Added a Lot of New U.S. Restaurants in 2025
McDonald’s ended 2025 with 13,706 U.S. restaurants — 149 more than the prior year (1.1% unit growth, vs. a 0.8% Technomic Top 500 median). It was the largest annual U.S. unit add since 2002, nearly a quarter century ago.
First Look: Smoothie King Unveils Updated Store Design; 200 Stores in Pipeline
With 200+ new store commitments in development, Smoothie King is rolling out a refreshed store design moving away from a stark, functional aesthetic toward warmth and approachability — part of a broader 50-year “brand evolution” plan.
Chicken Salad Chick Adds 50+ Restaurants to Pipeline in Q1
Chicken Salad Chick awarded 52 new restaurants in Q1 2026 — a nearly 50% jump from 35 in Q1 2025, the strongest quarter of franchise development in company history. The chain has 300+ locations in its pipeline, building on a record 2025 (nearly 100 awarded, 42 opened across 14 states).
Fast-Growing Jersey Mike’s ‘Confidentially’ Files for IPO
Jersey Mike’s has confidentially filed for an IPO, about a year and a half after Blackstone acquired it in a deal reportedly valuing the chain at ~$8 billion.
Cava Makes St. Louis Area Debut
Cava entered the St. Louis metro with a 2,900-sq-ft restaurant in Cottleville, MO, with a second location planned for later this year. Recent Midwest growth includes Ohio (March), Michigan, and Indiana (2025). Long-term goal: 1,000+ restaurants by 2032.
Krispy Kreme to Make Netherlands Debut With 30 Locations Planned
Krispy Kreme has partnered with Jafa Holding BV to enter the Netherlands, with the country’s first Hot Light Theater Shop opening in late 2026. The brand expects ~30 locations across the Netherlands over the next five years.
The Container Store Plans ‘Store Changing’ Event Ahead of Bed Bath & Beyond Conversions
The Container Store launches a chainwide “Store Changing” event Friday, April 24, resetting all 98 stores to prepare for phased Bed Bath & Beyond product integration. BB&B is acquiring The Container Store for $150M in stock and convertible notes, including the Elfa and Closet Works subsidiaries.
C-Store Operator Yesway Goes Public
Backed by Brookwood Financial Partners, Yesway raised ~$280 million, selling 14 million shares at $20 each for a $1.21 billion valuation. Trading on Nasdaq as “YSWY,” the company plans to open 130 new stores by 2031, primarily new-to-industry builds.
Party City in Retail Comeback — Inside Staples Stores
Staples has opened branded Party City shops in 700+ stores nationwide and on Staples.com, with expansion to additional locations planned by year-end. The rollout follows Party City’s late-2024 bankruptcy and the February 2025 acquisition of its IP and wholesale operations by Ad Populum.