Retail is a world of contradictions—a sector that thrives on adaptation yet faces relentless pressures to evolve. At first glance, the numbers seem promising: retail has outperformed some other industries in recent years, buoyed by consumer spending and innovation. But beneath the surface, cracks are forming. By February 2025, an estimated 140 million square feet of retail space will become vacant, driven by over 9,900 announced store closures compared to just 7,700 planned openings. This imbalance paints a stark picture of an industry grappling with transformation.

Discount stores, dollar stores, drugstores, and apparel retailers are leading the wave of closures. Many of these shuttered locations are large-format spaces—big boxes and junior anchors ranging from 10,000 to 50,000 square feet. Nearly 2,700 junior anchor locations have already closed or are scheduled to close, while big boxes will see around 1,530 closures. Yet some experts argue this upheaval is inevitable and necessary for the sector's health.

“There’s always churn; it’s healthy,” said Anjee Solanki, national director of Colliers’ Retail Services & Practice Groups. In a conversation published on Colliers’ website, Solanki explained that brands failing to meet evolving consumer needs were left behind. “Retailers and brands that were no longer relevant or had their product overshadowed struggled to catch up with consumer needs, leading to a mismatch between shoppers and brand alignment.”