Understanding Anchor Tenants and Their Impact on a Center
Why the largest tenant often pays the lowest rent — and still earns its keep.
Anchor tenants occupy the largest spaces in a center and are expected to generate the traffic that supports everyone else.
The anchor bargain
Anchors often negotiate lower rents per square foot in exchange for the traffic they bring. Landlords recover that difference through higher rents from smaller shop tenants who benefit from the visits.
Examples are hypothetical and for education only. This article is not investment, legal, tax, or financial advice.
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