A changing landscape
After a rocky start to the year with many national retail closures, the Albuquerque retail market has seen some positive movement. Amongst the rapid change and uncertainty, new retail trends have emerged.
The second quarter saw more national retailers file for bankruptcy and close stores in Albuquerque. Gymboree, Payless ShoeSource and Rue21 all declared bankruptcy. Gymboree has not announced which locations will close. Payless ShoeSource closed at Montgomery Plaza, but still has other locations open. Rue21 closed its doors at the new Plaza at Enchanted Hills shopping center. Ann Taylor Loft also closed its Uptown location as the brand continues to decrease its brick and mortar footprint. It still has one open store on Wyoming at North Towne Plaza.
Key factors this quarter
- National retailers continue to file for bankruptcy and close stores but the vacant sites are slowly being acquired.
- As in the first quarter, retail ‘experiences’ continue to thrive as well as neighborhood one-stop destination centers that include a mixture of restaurants, fitness studios, breweries and beauty salons to name a few.
- Charter schools are increasing their enrollment across the state and expanding into retail spaces.
- Demand for class A retail space is high, it does not last long on the market before being leased at a premium.