Andy Weiner, CEO of RockStep Capital, shares his expertise in transforming overlooked malls into lucrative investments. He argues that the retail apocalypse is overhyped, highlighting the actual data behind retail resilience. The conversation dives into the challenges of chasing national tenants and innovative repurposing strategies like converting retail spaces into healthcare and entertainment venues. Weiner emphasizes the long-term benefits of investing in secondary and tertiary markets while navigating the complexities of CMBS debt and market dynamics.
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insights INSIGHT
Retail Apocalypse Overhyped
The retail apocalypse story keeps mall prices low, creating investment opportunities.
Malls in secondary markets can yield high returns due to insolvent debt repricing and good real estate value.
volunteer_activism ADVICE
Partner Locally for Success
Partner with local business leaders to reduce risk and gain community insights.
Use local equity partners to navigate entitlements, incentives, and relationships with city officials.
volunteer_activism ADVICE
Demall to Increase Value
Convert mall interiors by demalling: remove interior corridors and face tenants outward.
Include retail like TJ Maxx or Ross plus storage tenants to increase NOI and value.
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Season 3, Episode 6: Andy Weiner, CEO of RockStep Capital, joins the show to explain why the retail apocalypse was overhyped and how his firm is turning overlooked malls into long-term cash-flow plays.
With 50+ shopping centers under management, Andy walks through the real risks, the CMBS fallout, and why Class B markets still offer upside, if you know how to operate.
We discuss:
– Why “retail is dead” doesn’t hold up in the data
– The problem with chasing national tenants
– How to convert retail boxes into healthcare and entertainment
– Why CMBS debt caused lasting damage to retail.
TOPICS
00:00 – Cold Open and Retail Misconceptions
02:20 – Andy’s Path and RockStep’s Strategy
07:00 – The Retail Apocalypse Was Overblown
10:30 – Picking Markets and Making Malls Work
15:45 – Why Big Boxes Can Hurt NOI
20:10 – CMBS Mistakes and Risk Discipline
26:00 – Repurposing Retail Into Healthcare and Entertainment
32:00 – Leasing Timelines and Tenant Credit Today
37:50 – Anchor Replacements and Nontraditional Uses
44:30 – Pricing Gaps, Cap Rates, and Lender Pullback
50:00 – What’s Next for Retail in 2025
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About No Cap Podcast
Commercial real estate is a $20 trillion industry and a force that shapes America’s economic fabric and culture. No Cap by CRE Daily is the commercial real estate podcast that gives you an unfiltered ”No Cap” look into the industry’s biggest trends and the money game behind them. Each week co-hosts Jack Stone and Alex Gornik break down the latest headlines with some of the most influential and entertaining figures in commercial real estate.
About CRE Daily
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