As retail’s recovery continues, competition has never been tighter among investors for retail assets across U.S. markets, according to JLL Capital Markets. Private investors increasingly have become a major acquirer of larger retail assets during the past five years by claiming 53 percent of all transactions greater than $50 million.
In 2021, private capital comprised 45.5 percent of total market share, investing $6.7 billion in single-asset transactions greater than $50 million. Between 2011 and 2016, that percentage was only 19.6 percent. Private capital is also chasing portfolio deals, picking up 11 retail portfolio acquisitions valued at just under $1.5 billion in 2021.
“Private capital has become a more active acquirer of higher-quality assets,” said Barry Brown, a senior managing director on JLL’s retail co-leader in capital markets. “Until the past 12 to 18 months, investment managers have had limited retail appetite due to over allocations in their po