Retail REITs: Retail REIT Weekly Rundown

Research evidence excerpt

Retail REITs: Retail REIT Weekly Rundown

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Retail REITs

Retail REIT Weekly Rundown

Price Objective Change

Retail traffic points to a more selective consumer 28 June 2026

According to Colliers’ latest retail market report for May, retail is reaching new highs but Equity

inflation is masking slowing demand. Excluding gasoline, retail sales growth was 3.7% United States

Y/Y in May, while core retail volume growth slowed to 0.2% Y/Y, signaling consumers are REITs

potentially becoming more constrained. And while consumers still indulge, they are Samir Khanal

becoming more selective. Apparel sales rose 3.6% in May and clothing visits increased Research Analyst

4.2%, signaling consumers are prioritizing discretionary purchases they view as BofAS+1 646 855 1497

worthwhile, according to the report. Discount and dollar store visits rose 7.8%, samir.khanal@bofa.com

compared to a modest 1.1% increase at furniture stores and just 0.6% growth at home Jeffrey Spector

Research Analyst

improvement retailers, highlighting caution around larger discretionary purchases. BofAS

+1 646 855 1363

Off-price retailers taking managed inventory approach jeff.spector@bofa.com

Andrew Reale

Earlier this week, BofA’s Specialty Retail and Department Store team noted that while Research Analyst

off-price retail inventory has increased, levels remain well balanced and supportive of BofAS

+1 646 855 1272

growth. Strong 1Q comps at TJX, ROST, and BURL were driven by strategic inventory andrew.reale@bofa.com

positioning, with the companies benefiting from elevated demand for value. While REITs Team

concerns are rising around higher in-store inventory, current trends suggest a healthy BofAS