Temporary Storefronts Good Deal for Retailers, Malls

August 6, 2009
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An increase in temporary storefronts in malls and shopping centers is reflecting the effect of the economy on both retail tenants who are commitment shy about long-term leases, and mall managers who are happy to have lower rent for the space than no rent at all.

Retail real estate experts predict that more, not less, temporary storefronts such as national-brand “pop-up stores” and small shops testing the market will appear. Property managers who had very few temporary storefronts before the economy affected the retail industry are seeing them as opportunities to fill spaces left behind by national chains that have gone out of business or shuttered many locations.