Episode 5 – Retail Recap: Jeremy is Buying Legacy West? What the FUD!
Market Momentum, Tenant Shakeups & Tactical Takeaways
In this episode, hosts Jeremy Mercer, Will Narduzzi, Rob Franks, and Secure Net Lease’s Bob Moorhead deliver another fast-paced update on the retail real estate world. With spring chaos in full swing and ICSC Vegas on the horizon, they break down what’s really happening across the market—from deal friction to fried chicken.
Key Topics Covered:
Tenant Trends & Cap Rate Stability
- Starbucks inventory remains elevated, with slow absorption and ongoing pricing challenges in secondary markets.
- Chipotle listings hold steady, with cap rates ranging from 4.0% to 5.75%.
- 7-Eleven continues its build-to-suit expansion, with slight tightening in cap rates.
The FUD Factor & Market Psychology
- Market uncertainty—aka FUD (fear, uncertainty, doubt)—is stalling transactions across the board.
- Interest rate swings, tax reform unknowns, and tariff fears are shaking confidence.
- Developers report deals getting iced due to C-suite turnover and strategic shifts.
Distressed Assets & Leaseback Headaches
- CVS and Walgreens are subleasing dark stores at significantly lower rents.
- Portfolios are being packaged with both “gems and junk” to move underperforming assets.
- Notable deals include the Legacy West sale—yes, that Legacy West—and Washington Prime portfolios.
Restaurant Winners & Repositioning
- Top Performers: Cava, Chipotle, Wingstop, Haywire, Monarch, Nick & Sam’s
- Decliners: Starbucks, KFC, Applebee’s, Del Taco
- Chick-fil-A leads with $7.5M+ average unit volumes, driving relocations to improve throughput.
From Fidelity buying power centers to American Girl’s quiet rebound at Park Lane, the episode is full of tactical insight and real-world anecdotes. Whether it’s mall failures, retail backfills, or the psychology behind a paused deal, this one has it all—plus a few laughs.
How to Listen:
