Dave Collins: There is no one size fits all approach to acquiring retail properties. We are very cognizant of retailers that have an existing platform that has been impacted by e-commerce and we spend considerable time evaluating future state and how these retailers will adapt to the continuing e-commerce model. However, over 75% of our portfolio consists of grocery anchored or shadow grocer anchored properties and we continue to look at acquisitions that have a grocer component. That might mean a traditional grocer, a specialty grocer or a larger operator with a grocery component such as a Target or Walmart. While no one is immune from e-commerce, grocers have experienced a much smaller impact than other retail categories and we believe this will continue in the future. We also look at services that require direct customer interaction, such as hair and nail salons, massage and physical therapy facilities and health clubs. An absolutely critical category for us is restaurants and entertainment. These are such an important part of the today's shopping experience and in many ways are one of the new anchors of a center. We also look at certain discount retailers that have evolved a business model with constantly changing inventory that provides a "thrill of the hunt" shopping experience that is relatively e-commerce resistant. All of these merchants provide both a quality customer experience and are minimally impacted by e-commerce. It is important to note that retailers across the spectrum are adapting to e-commerce and even certain retailers in categories considered most impacted by e-commerce, such as electronics and books, have successfully incorporated e-commerce into their omnichannel platform.

Instant Insights /

Bricks and Mortar Retail, Still the 800-Pound Gorilla

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