LAS VEGAS—The retail market has undergone significant changes in recent years, especially in the grocery segment. So says Terry Todd, associate principal at RDC, who tells GlobeSt.com that the focus has shifted to developing innovative solutions for grocery stores in urban areas where large plots of land are scarce.

One of the most exciting projects RDC has worked on is with Erewhon, an ultrahigh-end health food store that has gained tremendous popularity in the greater Los Angeles area, he notes. To create a grocery store in tight spaces, RDC transforms these urban locations with bright produce displays, pizza ovens, and places to sit, relax, eat, and gather. The company works with cities to acquire extra sidewalk space for seating and effective parking solutions for these urban store locations.

Urban markets often offer opportunities to develop in existing centers due to the absence of raw undeveloped land, adds Todd. As a result, he says, grocery stores are getting smaller, with some of the newer retailers having spaces in the 10,000-20,000 square feet range. Aldi, the Germany-based retailer, is actively pursuing opportunities to repurpose larger anchor buildings in desirable locations, seeking out sites for adaptive re-use.