How much are anchors in malls typically paying per sq ft?
Heyo,

I understand this is a vague question without details on even location, but are anchor stores (Macy's, Sears, etc..) usually paying around $1 per sq ft for the massive stores they have in retail malls? How much in rent do you think a Macy's would pay for a 50000 sq ft spot in a mall?

Thanks and stay safe :)
[{"id": "hz3riv5", "text": "I believe most anchors own their real estate. A second Gen anchor would likely be paying 10-25% of the psf rent on small shop space in the mall or immediate market. Age of store and scarcity of land would be major factors in the amount along with a million other variables.", "replies": [], "depth": 1}, {"id": "hz3rueh", "text": "In most cases significantly higher than $1/sf. It depends heavily on location/size/tenant and all the other usual factors but I'd say between $10 and $20 psf for base rent", "replies": [], "depth": 1}, {"id": "hz3zeua", "text": "This question is meaningless without a location. You can pay $40/SF in great locations, and some backwater town might be $5/SF.", "replies": [{"id": "hz4in6l", "text": "This is right, it\u2019s completely location based.   I have a portfolio with anchors of this size ranging from $4 PSF to $55 PSF (NNN).  In higher traffic locations (think 5th Avenue in NYC) rent can be much higher, even for an anchor.", "replies": [], "depth": 2}], "depth": 1}, {"id": "hz42f0d", "text": "I\u2019ve seen one paying $45psf and one paying $1 total with percentage rent over a certain amount of sales. Depends how distressed the mall is", "replies": [], "depth": 1}, {"id": "hz479x8", "text": "Are you calculating as $1 psft per annum? Or monthly?\n\nAlso Sears lol.", "replies": [{"id": "hz49ide", "text": "I was thinking monthly, is everyone else in these comments talking annual per sqft rent?", "replies": [{"id": "hz4hnbu", "text": "Yeah most everyone else is referring to PSF per year. Think that\u2019s why the numbers are so far apart.", "replies": [], "depth": 3}, {"id": "hz4qiam", "text": "By in large it's annual on a per square foot basis and monthly on a gross rent basis.", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "hz47w9l", "text": "Searitage owns all the old sears spaces, and of the space they have leased the average rent is $18/sf.", "replies": [], "depth": 1}, {"id": "hz51d6c", "text": "Less per sf than the inline guys lol. Market is everything", "replies": [], "depth": 1}, {"id": "hz5y4t1", "text": "Working on a 40k former anchor property, listed $8 psf. LOI probably $4-$5. Town of 23,000. Northeast.", "replies": [], "depth": 1}, {"id": "hz6ddcg", "text": "Town of 80,000 JCP pays around $1.50/sqft plus NNNs in a regional mall.", "replies": [], "depth": 1}, {"id": "hz6hht5", "text": "Those department stores are bigger than 50,000. We\u2019ve bought 14 vacant Sears boxes directly from Sears over the past 4 years and they range from 100-250k sf.\n\nThose department stores are also typically owned separately from the mall itself. Our portfolio has properties in Virginia Beach, Daytona Beach, Tampa, DFW, San Antonio Denver, Lincoln etc.\n\nThe ones we are not tearing down to build multifamily or mixed use, the rents are typically $12-20 NNN psf per year for retail tenants. The retail tenants we have been leasing to are around 50k sf. If you need a specific market let me know.", "replies": [], "depth": 1}, {"id": "hz7tvyy", "text": "Location location location.", "replies": [], "depth": 1}]