| A Weekly PropTech Newsletter bringing you industry updates from across the real estate spectrum |
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| UBS analysts predict that e-commerce growth, accelerated by AI, could drive more than 40,000 store closures over the next five years. While that figure sounds dramatic, we see a different story. Interest in physical, in‑person retail remains strong, especially among younger shoppers, and any store contraction is likely to be market “right‑sizing” rather than wholesale decline. That shift could create opportunities for property owners to repurpose retail into mixed‑use assets—a trend already underway among leading players. What do you think of this forecast? Tell us on LinkedIn.
This week additional debate about the importance and role of AI and digital spaces caught our attention, as did tools rolling out in time for Mother’s Day…speaking of which, for our US readers don’t forget it’s coming up this weekend! |
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| Retailers Flock to TikTok Shop to Find New Shoppers, Sales Growth [The Wall Street Journal] Americans are increasingly turning to TikTok Shop to buy shampoo, jewelry and apparel. Retailers have noticed, pushing onto the platform with their own virtual stores.
Kohl’s delves into AI for gift finding, aiding associates [RetailDive] Kohl’s has launched a Gift Finder for Mother’s Day, a conversational AI shopping agent. The shopping agent provides personalized gift ideas based on the recipient’s hobbies, interests and style.
Study: Digital tech makes purchasing path ‘entirely random’ for many consumers [Chain Store Age] With the digital world playing an integral part in consumers’ day-to-day lives, the path to purchase has changed fundamentally. That’s according to new research which found that nearly nine-in-10 (87%) consumers switch between digital activities at least once an hour. A whopping 91% of consumers use a second device while watching TV, and 69% say they discover brands they like even when they’re not actively shopping. |
| The pros and cons of adding AI to first-party experiences [CXDive] Are consumers interested in using these options over more traditional channels? The answer depends on how the application fits a customer’s needs and habits, which also shapes how businesses should approach first-party AI, according to experts.
Tech Tuesday: The Digital Twin Takeover [WWD] Fashion brands and tech giants are leveraging AI-driven simulations to bridge the gap between digital convenience and the personalized touch of an in-store experience. This week, the retail landscape moves further into the “phygital” realm as major players embrace the power of the digital twin.
Retailers are rushing to build AI apps. It’s unclear if shoppers will use them [ModernRetail] “For the moment, to be honest, adoption and conversion are pretty low,” said Dimitri Ewald, chief of staff at Alpic — a French company that builds and distributes apps for ChatGPT and Claude — based on conversations with his clients. “People don’t even know that there are apps in the ChatGPT store.” |
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| Retailers could close more than 40K stores in the next 5 years [RetailDive] Growth in e-commerce, aided by AI, is poised to lead retailers to close more than 40,000 stores over the next five years, UBS analysts led by Michael Lasser said in a Thursday research note. Department stores and specialty retailers are most at risk, while off-pricers will keep expanding.
Cenomi Centers Eyes SAR 800 Million EBITDA as Westfield Jeddah, Riyadh Set for 2026 Openings [The Saudi Times] Saudi Arabia’s retail real estate sector is entering one of its most consequential periods in years, with Cenomi Centers — the country’s largest mall operator — preparing to open two landmark Westfield destinations in 2026 while simultaneously advancing a new project in Al Khobar developed in partnership with the Public Investment Fund.
Q&A: Designing retail spaces to attract Gen Z [Chain Store Age] In an interview with Chain Store Age, Christina Faley, retail studio director and managing associate at TPG Architecture, shared key strategies for creating retail spaces that resonate with Gen Z, from experience-driven programming to designing for the seamless interplay between online and in-store engagement. |
| Mixed-use redevelopment project underway at Westfield Garden State Plaza [Chain Store Age] Mall owner and operator Unibail-Rodamco-Westfield (URW) and its co-developer, Mill Creek Residential (MCR), have broken ground on the first phase of the mixed-use “redensification” of Westfield Garden State Plaza in Paramus, N.J., which will include a one-acre town square park, green space and 575 luxury apartment homes.
Venture-Backed AI Firms Double Manhattan Leasing Pace Despite Skeleton Crews [Propmodo] Artificial intelligence startups signed leases for more than 414,000 square feet of Manhattan office space in the first quarter of 2025, nearly double the 845,000 square feet they took in all of 2024, according to JLL.
Copley Place Revamp Reflects Retail Transition [Banker & Tradesman] Simon Property Group should have no problem filling the now-vacant Neiman Marcus wing at Copley Place for a very simple reason: The luxury retail and food-and-beverage sectors are doing well in Boston, thank you. Indianapolis-based Simonn earlier this year announced plans to subdivide the old multi-floor Neiman Marcus space into smaller upscale retail stores and eateries. |
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| Swarovski, fitness, dining tenants land at Bergen Town Center [Chain Store Age] Bergen Town Center, located in Paramus, N.J., is adding six new tenants to its roster, including multiple eateries and fitness tenants, that will join the likes of Whole Foods, Target and CVS. The new arrivals come following the recent completion of upgrades at the property that included digital signage, new landscaping and fresh wayfinding. |
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