CHANGING CHANNELS

While everyone shops at grocery stores, American shoppers are making fewer trips annually to their local supermarket. Meanwhile, they're shopping more often at dollar stores and at supercenters like SuperTarget.

ANNUAL TRIPS MADE PER HOUSEHOLD:
1999 2000 2001 2002
Warehouse 9 10 10 10
Dollar 10 10 11 12
Convenience/gas 13 14 15 14
Drug 15 15 15 15
Supercenters* 15 17 18 21
Mass Merchants 26 25 23 22
Grocery 83 78 75 73
PERCENT OF HOUSEHOLDS THAT SHOP AT SELECTED RETAIL OUTLETS:
1999 2000 2001 2002
Convenience/gas 50% 48% 45% 46%
Warehouse 50% 49% 50% 52%
Dollar 52% 55% 59% 62%
Supercenters* 52% 54% 60% 63%
Drug 87% 86% 86% 86%
Mass Merchants 95% 94% 93% 92%
Grocery 100% 100% 100% 100%
*Includes Kmart, Target and Wal-Mart supercenters.
Source: ACNielsen

HOME DEPOT VS. LOWE'S

The two home improvement titans continue to expand, locking horns in some markets. During 2002, both companies opened most of their new stores in the South Atlantic census region, which includes Maryland, D.C., the Carolinas, Georgia and Florida, followed by the West North Central and Middle Atlantic regions. In New England, however, Home Depot was the clear leader; it opened 16 stores, or 9 percent of its yearly total, compared to Lowe's four store openings. Home Depot continues to lead Lowe's in major market penetration.

SEGMENTING ASIAN CONSUMERS

Among Asian Americans, Indians, Vietnamese and Filipinos are the fastest growing submarkets. The Chinese, Japanese and Korean populations experienced a slight decline between 1990 and 2000.

STREETFRONT PERSPECTIVES

All urban retail spaces aren't created equal. In fact, a shop on Fifth Avenue costs 40 times the price of space in downtown St. Louis. Grubb & Ellis' 2002 Premier Urban Shop Space survey uncovers the highs and lows of streetfront rents.

THE LOWER END
Urban District Average annual rental rate per sq. ft.
Downtown, St. Louis 22
Downtown and Fringe, Pittsburgh 23
Wholesale District, Indianapolis 26
South Howard, Tampa 26
Uptown along Trade Street, Charlotte 26
Fountain Square, Cincinnati 27
Nationwide Arena area, Columbus 27
Downtown, Minneapolis 29
Pioneer Square, Portland, Ore. 30
Ford Field, Detroit 30
THE HIGHER END
Urban District Average annual rental rate per sq. ft.
Fifth Avenue, New York 922
Rodeo Drive, Los Angeles 240
Michigan Avenue, Chicago 225
Newbury Street, Boston 150
Union Square, San Francisco 144
Kalakaua Avenue, Honolulu 78
Olive to University, from 4th to 7th avenues, Seattle 70
South Beach, Miami 65
Santana Row area, San Jose, Calif. 60
Connecticut and Pennsylvania avenues, K Street, D.C. 50
Source: Grubb & Ellis