In Texas and across the rest of the U.S., an increasing number of retail stores are closing their doors. The retail industry has always operated at razor-thin margins, and online retailers such as Amazon have transformed the industry. Commercial real estate owners have turned to innovative ways to help fill their vacant retail spaces in malls.
Spirit Halloween, a candy and costume retailer, is one such innovative business that offers a solution to commercial real estate owners who have vacancies. Each year, Spirit Halloween opens several pop-up locations across the U.S. The stores are open for an average of two months out of the year, helping commercial real estate owners with their vacancy rates.
Commercial real estate owners say that Spirit Halloween is an ideal tenant because it opens on time, leaves on time and cleans up on time. Spirit Halloween has 1,300 locations in the U.S. this year and has been adding more locations each year. The company opened its first pop-up location in 1983 and has added from 50 to 100 locations each year over the past 15 years.
Securing commercial leases for vacant retail spaces can be a long process. Commercial real estate owners might want to consider filling empty spaces with pop-up stores around the holidays while they search for long-term tenants. Experienced attorneys may assist their clients with identifying potential short-term tenants while they are also looking for longer-term stores to fill their spaces. While pop-up stores may only be a temporary solution, they can still help the owners with their vacancy rates and their resulting bottom lines. Attorneys may help to draft the commercial leases and to negotiate individual provisions that are contained within them to help protect the financial interests of their clients.