Top Retail Sectors in Commercial Real Estate to Watch in 2025

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• E-Commerce and Omnichannel Retail
• Sustainable Retail and Green Buildings
• Health and Wellness Retail
• Luxury Retail
• Food and Beverage (F&B)
• Fashion and Apparel
• Pop-up/Experiential Retail
• Home Improvement and Furniture
• Technology and Electronics Retail

The commercial real estate (CRE) landscape is constantly shifting, with retail spaces leading the charge in adapting to new trends, consumer demands, and economic forces. Entering 2025, certain retail sectors emerged  as key players in the CRE market, providing fresh opportunities for investors, brokers, and developers. Understanding these trends and leveraging data-driven insights is crucial to staying ahead of the curve. Here are the top retail sectors in commercial real estate to look out for in 2025.

1. E-Commerce and Omnichannel Retail

The rise of e-commerce continues to shape the retail landscape, with brick-and-mortar stores evolving into omnichannel hubs. Retailers are integrating their physical stores with online platforms to offer seamless shopping experiences. As consumers increasingly prioritize convenience, retail real estate will continue to adapt to these shifts, with mixed-use properties and last-mile logistics becoming critical.

2. Sustainable Retail and Green Buildings

Sustainability is no longer just a buzzword—it’s a competitive edge. Retailers and property owners are increasingly prioritizing green buildings, including energy-efficient designs and sustainability certifications. The demand for eco-conscious spaces is growing, driven by both regulatory pressures and consumers’ increasing preference for environmentally responsible brands. By focusing on sustainable retail properties, CRE professionals can capitalize on this growing trend.

3. Health and Wellness Retail

Health and wellness is becoming a dominant force in retail. From fitness centers and wellness spas to organic food stores and mental wellness brands, this sector is booming. The pandemic accelerated interest in personal well-being, making it a prime sector for investment in retail real estate. As wellness continues to take center stage, expect more brands to create specialized spaces for fitness, health, and mental well-being.

4. Luxury Retail

Despite economic fluctuations, luxury retail has remained resilient. High-end brands continue to invest in prime retail locations, focusing on exclusivity and personalization. With the recovery of the global economy, luxury spending is expected to rise. For CRE professionals, understanding the nuances of the luxury retail sector and its demand for high-quality, prime locations is key to securing high-value leases.

5. Food and Beverage (F&B)

The food and beverage sector is evolving rapidly. From fast casual to fine dining, consumers are seeking new, innovative culinary experiences. As the demand for unique food concepts grows, so does the demand for well-located retail spaces that cater to this trend. Ghost kitchens, food halls, and immersive dining experiences are on the rise, transforming the way F&B operates in CRE.

6. Fashion and Apparel

The fashion and apparel sector remains a cornerstone of retail, but it’s shifting. As more consumers embrace online shopping, retailers are downsizing their physical footprints while focusing on flagship stores in high-traffic areas. At the same time, direct-to-consumer (DTC) brands are expanding their retail presence, offering new opportunities in retail leasing. Fashion retailers are also investing heavily in technology, creating smart stores that blend the physical and digital worlds.

7. Pop-up/Experiential Retail

In an age where shopping can be done from the comfort of home, pop-up and experiential retail is gaining traction. Brands are transforming physical spaces into interactive experiences to drive foot traffic. These short-term, temporary retail spaces offer brands an opportunity to experiment with new concepts, launch products, or test different locations without committing to long-term leases. Pop-up shops cater to the growing demand for unique, limited-time experiences and are an attractive option for landlords looking to fill vacant spaces while attracting buzz. 

8. Home Improvement and Furniture

As the pandemic reshaped how people live and work, the demand for home improvement and furniture stores skyrocketed. With many consumers still prioritizing home renovation projects, the demand for large-format retail spaces that cater to these needs is expected to grow. Retailers focusing on furniture and home goods will continue to see success, especially in suburban and suburban-adjacent markets where larger retail spaces are available.

9. Technology and Electronics Retail

Technology is an ever-evolving market, and electronics retail continues to thrive as new innovations hit the shelves. Consumers are constantly upgrading their devices, making this sector a staple in retail real estate. In addition, technology retail stores are often designed to provide immersive experiences, with hands-on product demos and tech-centric store layouts. Retailers are increasingly looking for locations that can support a high-tech, interactive customer experience.

How CompStak Helps CRE Professionals Stay Ahead

CompStak’s data-driven insights and property analytics empower CRE professionals to stay ahead of emerging trends in the retail market. With access to real-time lease comps, sales comps, and property performance metrics, you can make smarter investment decisions in sectors like e-commerce, experiential retail, and luxury spaces.

CompStak provides verified data that helps identify valuable retail real estate opportunities, track market shifts, and stay informed about evolving consumer preferences. By utilizing CompStak’s tools, CRE professionals can confidently navigate the changing retail landscape and capitalize on the sectors poised for growth in 2025 and beyond.

By focusing on these emerging retail sectors and using data-backed insights, CRE professionals can position themselves to seize the opportunities that 2025 holds. Whether it’s through sustainable design, the growth of wellness retail, or the continued evolution of e-commerce, staying informed and ahead of the curve is essential. With CompStak’s comprehensive suite of tools, you can ensure that you’re always one step ahead of the competition.