Expert: Use of Urban Space Will be Re-imagined, Footprints Will Shrink

Tony Cho, CEO and founder of Metro 1.

LAS VEGAS—As the CEO and founder of Metro 1 and through his career in real estate, Tony Cho has become a specialist in large-scale urban core assemblages, adaptive reuse/mixed use development and retail leasing and sales as well as industrial brokerage and management. Metro 1 is a results-driven real estate brokerage providing leasing and sales in industrial, retail, investment, land, office and multifamily properties in South Florida. As part of our ICSC RECon coverage, we chatted with Cho on his retail forecast for the market and trends he is seeing at the moment. “As unemployment continues to decrease, more companies hire and more disposable income increases sales,” he tells GlobeSt.com. “We will see many adaptive reuse projects of defunct or functionally obsolescent retail projects being redeveloped and adapted to uses that serve current demand.” He continues that “With the advent of uber and other technologies, parking will become less important and the use of space specifically in urban areas will be re-imagined.” Cho explained that urban /street level retail experience becoming more prevalent and preferred to malls. The health and wellness segment, he adds, is seeing strong growth, with gyms, fitness oriented retail, juice bars and health and wellness orientated retailers like Nike, for example, will also continue to see growth. “Discount stores and spin offs are growing in popularity like Nordstrom Rack, outlet’s and stores like TJ Maxx are seeing growth,” Cho says. In addition, he says, we can expect to see an increase in independent brands, mom and pops and unique brands. “We are also seeing an increased demand for higher-end grocers and markets like Trader Joe’s and Whole Foods as people become pickier about food choices.” The larger groceries like Walmart and fast food joints, Cho says, “continue to try and green and make their image more health conscious with organic and healthy food options.” As for technology, Cho says that it will continue to play a major role in the way people shop, as demonstrated this past Thanksgiving when online sales outpaced in store sales for the first time in history. “We expect this trend to continue and there as urbanization continues to take place, I expect footprints of all types of retailers will shrink.”