The retail industry has been under siege for the last decade. From the adoption of online shopping to the pandemic, retailers have had to continually adapt. Outsourcing real estate-related functions has become a common way for retailers to remain flexible and respond to new consumer demands.

"Before COVID-19, the outsourcing of real estate functions was already a growing trend for retailers, because it provides immediate scalability and agility in an industry known for pivoting quickly," Michael Mason, executive managing director at Newmark and head of the company's retail occupier services practice group, tells GlobeSt.com. "The pandemic underscored the need for many retailers to evaluate their organizational structures and portfolios and assess if they are positioned to handle the dramatic change required to meet new consumer behavior. For many retailers, this brought the realization that they need more resources, and outsourcing has been a common answer."

Outsourcing doesn't only increase resources, but helps retailers tap into expertise that they might not otherwise have on their team. "Having worked in-house and as third-party consultants for well over 100 retailers, Newmark's retail occupier services group offers clients insights and efficiencies in real estate department integration that comes from our many years of experience," says Mason. "Additionally, outsourced providers have access to information, technology and other resources that are expensive and challenging for retailers to aggregate on their own."