Properties with Class A retail space are considered to be the creme de la creme of buildings available in the market. Tenants often choose this type of space for more square footage, visibility among other high-caliber retailers and location in high-traffic areas. Consumers can find these stores in affluent communities.
Class A spaces are located in newly constructed developments in proximity to a major city or body of water. For example, the Park Place mixed-use development in Annapolis, Maryland advertises its Class A retail space as facing West Street, a high-traffic thoroughfare that 25,000 drivers travel daily.
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Luxury Class A space is often a key component of upscale mixed-use developments that include high-end shops, fine dining restaurants and condominiums. For example, the upscale Annapolis Towne Centre at Parole complex has wooed premier tenants including Brooks Brothers, Talbots and Anthropologie to its luxury retail space. The National Harbor shopping development, located on the banks of the Potomac River, houses 1 million square feet of retail, restaurant and entertainment space. Some of the upscale stores that National Harbor has been able to attract include JoS. A. Bank Clothiers, Swarovski and South Moon Under.
Tenants who sign leases for Class A space are offered a slew of amenities you will not find in less expensive, older buildings. The space often comes with high ceilings and canopy entrances. Landlords of Class A space provide tenants with options to add awnings and various doorways and boutique windows. Businesses that sign leases for this type of space will often have access to garage and valet parking.
Class A space also can be a key economic development component in a particular jurisdiction. The spaces tend to draw high-end tenants, which in turn attract affluent consumers with more disposable income. A concentration of high-end retailers in a market creates a synergy between stores. County governments provide incentives to spur the development of high-end buildings to attract upscale retail stores. For example, Arlington County, Virginia has launched a marketing plan centered around renovating existing properties to house these upscale retail stores and restaurants while also encouraging building owners to upgrade their buildings.
Class A Office Space
Class A retail space often can be found in the vicinity of Class A office space. Like Class A retail space, Class A office space is constructed with high-quality materials. The high-end office space offers numerous features, including lobbies, state-of-the-art technology and reserved parking.