Unpopular opinion: waiting on anchor tenants is a trap for downtown Detroit landlords

I spent 6 months holding out for a big corporate lease on my Woodward Ave space, lost two solid local businesses in the meantime. Then I signed a 3-year deal with a coffee roaster at 30% less rent and the building is finally full. Do you think chasing national chains is worth the vacancy risk in this market?

3 comments

3 Comments

grantmartinez25d ago

Read that article in Crain's last week about Hudson's site delays. Pretty much confirms your take.

veraj5312d ago

...my buddy over in Corktown had the same thing happen to him, he sat on a prime spot for almost a year waiting on a chain sandwich shop and turned away a baker and a vintage clothing store. Eventually he took a local taco place at way less rent and now that block is a total destination spot, everyone stops there. I think the long term value of having a busy building with local buzz beats the name recognition of some national place that might bolt anyway after their lease is up. Plus those big corporate tenants always want all these build out allowances and rent concessions that eat into your profit.

karen_roberts425d ago

Grantmartinez nailed it with that Hudson's mention. Same pattern everywhere chasing the big names while solid local spots get priced out or just give up waiting. Coffee roaster sounds like the smarter play long term anyway.