REAL ESTATE NEWS

The use of artificial intelligence has reshaped commercial real estate today — but without question, human interaction still makes a difference and understanding the needs of occupiers.

At one of our panels during GlobeSt.'s Net Lease 2026 event, we took a look at things through the lens of tenants. The discussion involved Jacob Dinetz, director of real estate & business development at Union Square Hospitality Group and Anastasia Kouimelis Scott, senior director of real estate at Levain Bakery. Both highlighted how landlords and brokers can attract tenants like them.

Understanding Business Modes

For Scott, it's all about establishing a relationship and understanding business models and necessities.

"There's a lot of folks that can sling you space and show you space and give you the rents and tell you it's below market," she said.

"But I'm often making a decision of, okay, 'are we going to enter Nashville or Atlanta?' So I'm not comparing this space to two doors down. I'm comparing cities, what that means for our brand and what we're committing capital [to]."

She added that brokers who best understand what it means for Levain's business model, which operates nearly two dozen bakeries across the U.S., tend to offer the best information and become the best partners.

Brokers That Go the Extra Mile

For Dinetz, the biggest difference maker is those who can find space for their clients to operate before other competing brokers do, as he points to the struggles for tenants in the food and beverage sector with limited availability in major markets nationally.

"This is a very competitive field in F&B, whether you're in New York, Boston, Miami [or] Texas, there's just not a lot of quality space available," he stressed.

"Once it hits the market, you've got a dozen plus users, anyone from the high credit [players] like Chipotle and Shake Shack to some of the bigger fast casuals like Sweet Green and Cava to maybe some more [locals], whether it's us or PureVita or Ramon, everyone's going after the same space and the same thing can be said about the restaurant space."

Factors in Consideration When Seeking Space

Both Dinetz and Scott provided what they put under consideration when hunting for retail space.

Scott, in particular, said she looks at a few things: what the capital investment will look like, the existing utilities and the requirements.

Now, the market strategy has shifted for Levain, which is now looking to leave the traditional major coastal markets like Boston and New York and tap into Sunbelt states like Florida and Texas. Scott believes that its experience in transnational strong holds this gives the firm the upper hand during this move.

"I think we have the advantage of when you're coming from New York City and very difficult markets to operate in, it's actually a lot easier going in the other direction," Scott explained.

Part of what Dinetz seeks are locations that offer strong visibility and street corners. Another important element when conducting due diligence is finding out what fellow food and beverage players in the market are seeking.

"We really try to find who our peers are in the market, whether that's fast casual, QSR restaurants or maybe just similar tenants to whom we think where our shoppers might go.

He added, "Let's try and speak with those tenants. [Plus] We'll speak with managers and speak with heads of real estate. "Getting actual data from existing tenants has been the best source of knowledge for us."

Source: GlobeSt/ALM