Being “locally smart™” with PECO’s Grocery- Anchored Shopping Centers

In the fast-paced world of retail, where competition is strong and customer preferences change quickly, the success of a shopping center relies on much more than simply filling store spaces. 

It's about creating vibrant community hubs that resonate with local needs and attract steady foot traffic. At PECO, we understand the importance of a “locally smart™” approach to merchandising our centers. Our focused and unique strategy of owning and operating small-format neighborhood centers anchored by the top grocers is at the heart of our mission. 

Understanding the Local Pulse 

Being locally smart starts with understanding the communities that we serve. This means understanding local shopping habits and identifying the gaps in existing retail offers. Our centers are not just shopping destinations but vibrant community hubs, cultivated to reflect the neighborhood. PECO’s commitment to this tailored approach ensures that each center resonates with the unique character of its locale.  

Balancing Local and National Tenants 

Our approach to merchandising these centers goes beyond traditional methods—we blend the strengths of national, regional, and local “Neighbors” to create dynamic, thriving spaces that cater to the diverse needs of our communities.  

We use the term Neighbors instead of tenants to reflect our commitment to treating each business in our centers with care and respect, just as we would treat those who live next door. Serving our Neighbors means serving our community, and this philosophy underpins everything we do.  

The key to developing a successful neighborhood shopping center lies in creating harmony between two distinct types of businesses. Each brings unique strengths that, when combined thoughtfully, elevate the overall shopping experience.  

National and regional brands bring recognition, stabilized operating platforms, a refined identity and a broad customer base, all of which are essential for drawing consistent foot traffic and providing a reliable, enjoyable shopping experience. They often offer a wide range of products or menu of services that consistently meet the everyday needs of our shoppers. 

Local businesses, on the other hand, can contribute a unique mix of products, highly personalized services, and a deep connection to the community. They often go out of their way to reflect the local culture and preferences, creating a sense of place and authenticity that resonates with shoppers. These businesses can also adapt quickly to changing local trends and provide a level of customer service that feels more personal and tailored. 

Our strategy is to curate and balance these tenants to create a great shopping experience. This approach not only meets the diverse needs of the community but also enhances the overall appeal of our grocery-anchored, neighborhood shopping centers. By integrating well-known national brands with strong regional and local businesses, we ensure that our centers remain dynamic, relevant, and attractive to a wide range of shoppers while meeting the daily needs of the most frequent visitors to each center. 

Building Long-Term Partnerships 

Building long-lasting relationships with our Neighbors ensures stability and consistent quality for shoppers, reinforcing our centers as integral parts of the community fabric. 

Commitment to Our Communities 

At PECO, we are constantly adapting to meet changing community needs and retail landscapes. In recent years we have seen strong demand from necessity-based goods and services retailers, including quick service and fast casual restaurants, health, wellness and beauty focused retailers and service providers, along with med-tail and pet-tail businesses, reflecting our strategic focus on supporting essential community services. 

A Strategy That Drives Results 

Our exclusive strategy of owning and operating small-format neighborhood centers anchored by the top one or two grocers is deliberate. Anchored by top grocers, our centers enjoy consistent foot traffic and economic resilience, which in turn benefits all our tenants, from local boutiques to national chains. 

A Commitment to the Future

In conclusion, being locally smart when merchandising our shopping centers means prioritizing local flavor and community engagement while leveraging the draw and stability of national brands. It's a balancing act that we consistently model and continue to fine-tune, always with the goal of creating thriving centers that meet the needs of their communities. 

At PECO, we believe in the power of being locally smart and globally savvy. We blend the best of both worlds to create spaces where people want to shop, work, and spend time. Together, with our team, our Neighbors and our investors, we are building vibrant, dynamic shopping environments that stand the test of time. 

For more insights into our approach and opportunities to partner with us, please contact our team.