One of the many consequences of the pandemic is the growing habit to shop online instead of physical stores. Nothing harmful, right? Well, for the real estate market this means that there is likely to be an excess amount of retail space.
There is almost certainly going to be a significant amount of unused retail and hospitality space in the coming months and years. With the right approach, this space can be repurposed and turned into something new and exciting. For retail investors, this could mean turning unused space into storage units or turned into office space. And for hospitality investors, there could be an opportunity to create co-working spaces or event venues.
The key is to be creative and think outside the box. With the right strategy, investing in retail and hospitality space can still be a lucrative endeavor.
An Answer To A Growing Issue: Repurposing Retail Space
It is no secret that the retail industry has been struggling in recent years. Mall stores and anchor tenants alike have had a hard time competing with online retailers, who are able to offer competitive prices while still maintaining high quality service for their customers.
There has been much investor interest in repurposing projects as of late. This is mainly due to the current oversupply of retail space globally and the huge increase in online spending. Injecting life into underutilized retail space is set to continue for the near future. What the new space looks like will be up to the imagination of the investor or developer.
Some examples of retail and hospitality businesses that have already taken advantage of this trend are cafes, restaurants, bars, and boutique hotels. These businesses have found that by repurposing retail space, they are able to reduce their costs and still appeal to customers who are looking for unique experiences. With the continued decline of brick-and-mortar retail stores, it is likely that this trend will only grow in popularity in the coming years.
Repurposing Hospitality Space Brings New Possibilities
The hotel industry is not just doing away with the old and introducing new strategies to stay afloat, they’re also taking advantage of their properties in creative ways that will help them continue operations.
Based on the location and demand in micro-markets, hotels can be reoriented to provide co-leading services such as office space or even TV/movie production facilities in cities across the world.
IPG has the experience needed to take on any retail, office or hospitality property. From developing an entire mixed-use site from scratch with all new construction, using sustainability strategies, to turning an old department store into office space – we can do it all.
Hotel owners who are looking to make the most of this era should consider renovating and reusing their property for future generations.
Let Us Guide You Through The Process
IPG has developed a process which involves working with architects and local planners to design and develop mixed use projects that are compelling sites.
We believe in the importance of making sure our community has what they need to stay healthy. That’s why we work with hospitality and retail businesses throughout America, providing safety solutions while also helping minimize consequences from pandemics by continuously working towards occupancy rates – which benefits both communities, as well as entrepreneurs, during these difficult times.
