10 NO-HOLDS-BARRED PREDICTIONS FOR RETAIL IN 2022
Predicting the future in the dynamic world of retail -particularly in the throes of a lingering pandemic- may be a fool’s errand. Nevertheless, I am at it again, having also just taken stock of how I did with my list of Retail Predictions from 2021. So here, in no particular order, are my prognostications for this year.
JANUARY’S EARLY ‘RETURNS’
The holiday season was impacted by declines in Black Friday visits and a push for an extended holiday retail season. Yet, with Omicron raging, it was difficult to understand which declines were defined by potentially permanent shifts to holiday shopping behavior and which were a direct result of COVID.
U.S. INFLATION HITS 39-YEAR HIGH OF 7%, SETS STAGE FOR FED HIKE
U.S. consumer prices soared last year by the most in nearly four decades, sapping the purchasing power of American families and setting the stage for the Federal Reserve to begin hiking interest rates as soon as March. The consumer price index climbed 7% in 2021.
REITS OWN 503,000 PROPERTIES IN THE U.S.
Nareit’s annual update of REIT property counts and estimated gross asset values by state and property sector is now available on the REITs Across America website. At the end of 2020, U.S. public REITs owned an estimated 502,937 properties and 15.1 million acres of timberland across the U.S.
REAL ESTATE IS EMERGING AS A HEDGE AGAINST ROARING INFLATION
Surging markets spurred a buying frenzy for everything from stocks and cryptocurrencies to new homes over the last two years. Now, with inflation at a nearly 40-year high and at least three priced-in rate hikes, the hunt for investing safe havens is on.
COVID-19 FUELS BEST-EVER COMMERCIAL REAL-ESTATE SALES
Investors set a record for U.S. commercial-property sales last year, betting that the pandemic is reordering how Americans live, work and play. Real-estate buyers loaded up on warehouses, which serve as fulfillment centers for the e-commerce boom.
KOHL’S CONFIRMS MULTIPLE TAKEOVER OFFERS
Kohl’s Corp. has received takeover offers from at least two parties. The department store retailer on Monday released a short statement saying it has “received letters expressing interest in acquiring the company.” Kohl’s said its board of directors “will determine the course of action that it believes is in the best interests of the company and its shareholders.”