ICSC 2025 Kicks Off with Optimism, Insight, and Real Talk on Retail’s Momentum
Live from DLC’s booth on the floor of ICSC Las Vegas 2025, the energy was unmistakable—and the message is clear: retail is not just holding strong, it’s adapting and thriving. In the first official conversation of the conference, Adam Ifshin, CEO and Founder of DLC Management Corp., sat down with two industry insiders Newmark‘s Brandon Isner, Head of Retail Research, and Conor Lalor, Head of U.S. Retail Capital Markets.
The Consumer Is Still Showing Up
Despite soft indicators like declining consumer sentiment, Isner set the tone with a grounded but bullish outlook: “Wage growth has outpaced inflation for nearly two years. Retail sales are up 5.2% year-over-year. The consumer may be feeling the pinch—but they’re still spending.”
Hard data is backing the optimism. Restaurant sales are up 7.8%, proving that consumers aren’t just making ends meet—they’re making reservations. Brandon noted that even with noise around tariffs and inflation, consumer behavior has remained steady, especially in experiences like dining out and visiting entertainment venues.
Retail Capital Is Back—And It Wants In
Conor brought the capital markets into focus. After years of being overlooked, retail real estate is back on the investor radar, particularly open-air centers.
“There’s a tremendous amount of capital that has a thesis on retail but hasn’t been able to deploy,” he said. “Now they’re trying to figure out how to access the sector and who the best operators are.”
Even with macroeconomic volatility, Lawler emphasized that pricing and bidder pools are holding steady. Open-air shopping centers are being reevaluated as “asymmetrical risk” plays—investments where downside is limited by favorable acquisition bases and upside is powered by strong tenant demand and flexible lease structures.
Experiential Retail: Not Just a Trend, a Growth Channel
When asked about the viability of experiential retail—like pickleball, trampoline parks, and dine-in theaters—Brandon underscored the growing diversity of retail space occupiers.
“We’re not just talking about retailers anymore. It’s a wide mix of services, experiences, and uses,” he said. “Urban Air is backfilling big boxes. Restaurants are performing. And consumers are still showing up—just closer to home and more often.”
Conor added that while credit risk is real, even theaters can be viable if they’re high-performing and anchored in strong markets. The key: performance over perception.
Retail’s Resilience Is Its Superpower
Both guests agreed that the agility of the retail sector—especially during and after the pandemic—is what continues to set it apart.
“Retail figures it out,” Brandon said. “From curbside pickup to new drive-thru formats, retailers adapted fast—and they’ll keep doing it.”
As capital floods back into retail and supply begins to loosen, the next 30-90 days could be pivotal for pricing discovery and transaction volume. But for now, one thing’s certain: open-air retail is not just surviving—it’s winning.
Takeaways
- Consumer sentiment is mixed but overall positive.
- Retail sales have increased by 5.2% year over year.
- Experiential retail is expanding and adapting to consumer needs.
- Investors are showing renewed interest in retail assets.
- The job market remains strong, supporting consumer spending.
- Supply chain issues could impact holiday sales performance.
- Retailers are adapting quickly to changing market conditions.
- Open-air shopping centers are becoming more attractive to investors.
- The market is seeing a shift towards mixed-use developments.
- Capital markets are optimistic about retail investments.
