Sutton & Edwards' Perri Upbeat on Long Island Retail Property
Philip Perri, Director of Corporate Real Estate Services at the Lake Success, NY-based commercial real estate services firm, is upbeat about the outlook for retail space on New York's Long Island.
Lake Success, NY (PRWEB) February 22, 2006 -- A leading retail property broker on Long Island sees continued strength in the retail space market Nassau and Suffolk Counties, but he tempers his upbeat forecast with some words of caution.
“I believe 2006 will continue a strong trend with consumer consciousness casting a cautionary shadow,” said Philip Perri, Director of Corporate Retail Services at Sutton & Edwards Inc. /TCN Worldwide
“Long Island has mirrored national trends, although it has generally performed better than the national average,” Perri told a Feb. 16 meeting of the CoreNet Global Long Island Chapter at the Milleridge Inn in Jericho. “The outlook both nationally and locally is for a rather vanilla year in 2006 — not too bad, not too great — as long as external factors such as terrorism, galloping interest rates or a correction of global imbalances do not intercede to tip the scales either way,”
He said jugular issues, such as consumer confidence, weather, the housing market, job growth and global pressures “are in a state of flux.”
Nevertheless, he said, “The retail market on Long Island continues to be strong and attractive to retailers of all categories.” And, he noted, retailers are well aware of the region. “The retail world has discovered Long Island,” he said. The combination of availability, desirability and affordability has driven retail rental and acquisition rates in the region to new records in even marginal markets.
Perri noted that the Principal Financial Group ranks Long Island as eighth in the country in terms of estimated per-capital retail sales. New York City, he noted, ranked No. 43.
Demand for retail property in the region, Perri said, has led to the recycling of other properties. “The pressure to expand on Long Island has led to the redevelopment of manufacturing and warehouse properties, which have become functionally obsolete.” He noted that a Tanger Outlet Center joint venture is planning an outlet center on the site of a former defense plant in Deer Park. Also, he said, the Mall at Oyster Bay “is rising out of the ashes of the long-vacant Cerro Wire plant in Syosset. “ Furthermore, Stew Leonard’s, the Connecticut-based supermarket operator, plans to build a store on land that formerly was a Fairchild Corp. aircraft plant in Farmingdale.
Perri said other developments worth watching in the region include the redevelopment of 450 acres in Brentwood at the former Pilgrim Psychiatric Center, the growing retail presence east of Route 110 on Jericho Turnpike, one of the region’s major east-west commercial routes; the continuing redevelopment of Roosevelt Raceway in Westbury and the impact of new, large residential components now being constructed at the former harness racetrack. He also cited the planned redevelopment of Mitchell Field surrounding the Nassau Coliseum.
In addition, Perri noted the Simon Properties is constructing a new lifestyle center at the Smithhaven Mall in Lake Grove and is planning expansion at its other Simon malls in the region.
Sutton & Edwards offers a unique “Partners in Success” approach to site selection. Sutton & Edwards partners with a retail client's internal real estate development department, helping to strategize market penetration, setting the market and trade areas, following the process through the acquisition of properties and, if required, the construction of a building.
Founded in 1962, Sutton & Edwards Inc. / TCN Worldwide is Long Island’s premier commercial real estate services firm. Headquartered in Lake Success, NY, the firm employs 50 real estate specialists providing integrated leasing, investment sales, property management and advisory solutions. To find out more about Sutton & Edwards, please call 1-516-328-6500, or visit the firm's Web site at www.suttonandedwards.com.
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