While not the most glamorous real estate, strip malls are nevertheless thriving in the modern age. In fact, they’re growing while other retail business models are struggling. How are strip malls doing so well?
Though this truth may seem surprising, it’s actually due to several features strip malls offer. Here’s how these unlikely gems are succeeding.
Retail Is Changing
Much of retail is moving online. Businesses such as Amazon can provide a variety of products without the inconvenience of leaving the house. This has hit many companies hard, some even going under since their services have been replaced. Businesses that are making it work have changed their approach, sometimes dramatically.
Businesses of Certain Types Are Falling by the Wayside
A one of the most hard-hit businesses are bookstores, which have faced the double threat of online buying and digital books. Shopping malls have also felt the strain as stores shutter. Once considered the new form of retail, these places seemed too big to fail, but were actually at a disadvantage due to their size, location and industry.
Strip Malls Are Innovating
One of the reasons strip malls have remained so resilient is innovation. For example, businesses such as indoor playgrounds and theme parks are drawing in new interest from customers. Trampoline parks are another popular attraction that can make a new demographic familiar with what a particular strip mall has to offer.
Strip Malls Offer Convenience
Strip malls tend to be in or near neighborhoods, which means customers don’t have to go far to get the things they need. This convenience is partly what’s led to the proliferation of grocery stores in this type of real estate. When given the option to take a quick five minute drive versus a half hour trip plus parking, most people will go with the quick jaunt.
Strip Malls Are Prime Places for Quality Restaurants
Younger generations are making the move from sit-down restaurants to fresh, quality takeout. Eateries such as Chipotle don’t require the same space as sit-down restaurants, allowing them to set up shop in strip malls. The growth of this type of food vendor has helped strip malls stay relevant.
Medical Offices Are Moving Into Strip Malls
Another industry that’s moving into strip malls is healthcare. Many doctors, dentists, chiropractors, and others are choosing strip malls because they’re closer to neighborhoods and patients. While not a traditional retail business, a medical clinic can nevertheless draw in new customers for surrounding merchants.