A spate of store closures looms in the months ahead due to a still-underappreciated degree of distress in the American retail sector, A&G Real Estate Partners Co-President Andy Graiser said in an recent online panel discussion.
“Reduced discretionary spending is really becoming the biggest issue for retailers,” Graiser said, pointing to a “disconnect” between landlords’ positive perceptions of retail performance and “how volatile and troubling this situation really is” for many chains.
“I see a lot more distress this year than I expected,” Graiser noted in a news release summarizing the seminar . “We’re getting a lot of phone calls, and it’s hitting every sector.”
The webinar, “Market Outlook — Insights on Retail, Consumers, REITs, NNN & Shopping Centers,” focused largely on consumer behavior and chains’ financial health. Moderator and Telsey Advisory Group CEO Dana Telsey kicked off the discussion by pointing to more careful spending across “a wide range of income levels.” Telsey noted that trading-down behavior continues to bolster traffic at discounters such as Walmart and Costco.
The retail real estate investment trust (REIT) Simon is just one example of a landlord that has “talked about how consumers are still shopping, but have pulled back on everyday spending,” said panelist Linda Tsai, part of Jefferies’ REIT Equity Research Team. “They’re holding out to save for occasions like holidays, birthdays and experiences. Overall, Simon has seen outperformance in its outlet business.”
A&G’s Graiser predicted continuing retail distress into the middle or end 2025. Citing the recent liquidations of 99 Cents Only and Conn’s HomePlus, he noted that more retailers could suffer the same fate in the year ahead.
Advertisement
Click here to watch the webinar.
Closing With Confidence: How Bailey's Fine Jewelry Achieved Outstanding Results With Wilkerson
When Trey Bailey, President and CEO of Bailey's Fine Jewelry, decided to close the Crabtree location in Raleigh, North Carolina after 15 years, he knew the decision needed to be handled with intention and professionalism. The goal was clear: exit the location while maintaining financial strength and honoring the store's legacy.
Having worked with Wilkerson successfully in the past, Bailey understood the value of their comprehensive approach. "They understood both the emotional and financial sides of the store closing sale," Trey explains. "Their reputation for professionalism, results and care made it a very easy decision."
The results exceeded expectations. Wilkerson helped Bailey's sell through significant inventory while maintaining the dignity of the closing process. "They don't just run a sale, they help close a chapter in the best way possible," Bailey says, strongly recommending Wilkerson to any jeweler facing a similar transition.
