I was searching for a retail space for one of my new clients in York Region, Ontario and I realized there are many gyms, sit-down restaurants, hair salons and former Starbucks locations available for lease.
COVID-19 lasted long enough to kill many of these small businesses and reshape the retail industry in Greater Toronto Area and around the world.
Who is going to replace Starbucks, a cannabis store? (I actually have cannabis store operators looking for former Starbucks location to lease)
It is interesting to note that not only have rents not gone down but landlords are now asking for substantial security deposits to sign new leases. In other words, it will cost you more than before the pandemic to get into a new retail space despite high vacancy rates.
The big players seem to be cutting their losses and watching from the sidelines to see where the vaccination process and number of COVID cases are heading; other large restaurant owners are switching to micro versions of their brands investing in takeout and delivery using popular applications; business are learning from their mistakes and starting over hoping that this time they will get is right.
What will happen to smaller retailers who went out of business in 2019 and 2020 and who are the new tenants replacing the closed businesses?
No matter what your business plans are, our team of retail experts will be able to help you with site selection and lease negotiation so that your business can confidently start, grow, expand or recover.
Feel free to reach out to our team members today!