ICSC@Western 2025: Key Takeaways from Palm Springs

This year’s ICSC@Western Conference in Palm Springs was widely attended, drawing developers, investors, brokers, service providers, and retailers from across the country. The Palm Springs Convention Center was buzzing with energy as industry leaders gathered to exchange ideas, make deals, and highlight trends shaping the future of retail real estate.

Our PSRS producers were on the ground throughout the event, networking with peers and gaining valuable insights. Here are some of the key themes that emerged:

• Strong networking & dealmaking activity: Most of the value came from productive one-on-one meetings and informal conversations.
• Retail resilience & capital interest: Institutional capital continues to re-enter, with investors eyeing smaller, tenant-driven projects.
• Cost pressures on tenants: Rising NNN expenses, insurance, and operating costs are driving more creative deal structures.
• Technology & AI adoption: “Agentic AI” and retail tech innovation were a notable focus.
• Tight supply of prime space: Limited vacancies are fueling repositioning and value-add strategies.
• Leasing & Tenant Demand: Retailers remain in growth mode, strategically phasing store openings to ensure success.
• Capital Markets: Financing is active for well-sponsored projects, with competitive terms in both primary and secondary markets.

What This Means for You
The conversations in Palm Springs reinforced that while challenges remain, opportunities are growing for well-positioned borrowers and owners who can adapt to shifting tenant needs, rising costs, and evolving deal structures.