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Tariff tensions may offer unexpected upside for retailers and their landlords

In-store shopping could regain relevance should tariffs make delivery-reliant e-commerce less seamless and more costly
Dundas Square is a vibrant retail location in downtown Toronto. (CoStar)
Dundas Square is a vibrant retail location in downtown Toronto. (CoStar)

As recession fears persist and consumer spending softens, retail real estate owners may be bracing for challenging years ahead. A slowing GDP, elevated interest rates and consumer caution around discretionary spending typically spell bad news for retailers and, in turn, retail landlords, especially those reliant on turnover-based rents or rapid lease-ups.

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