In commercial real estate development, one of the most powerful metrics we evaluate before breaking ground is sales leakage. In simple terms, sales leakage occurs when a city’s residents spend money outside of their local municipality because certain retail, dining, or grocery options aren’t available close to home.
Take our partnership project, Clearlake Marketplace, for example. Extensive peer trade area analysis revealed an overall regional sales leakage of +$764 Million. That number represents a massive economic gap—millions of dollars leaving the community annually in sectors like general merchandise, clothing, and quality sit-down restaurants.
By analyzing this data alongside our analytics partners, we designed a master site plan tailored specifically to capture those missing dollars. Introducing essential anchors, a new hotel footprint, and streamlined quick-service dining pads keeps consumer spending local. This doesn’t just provide convenience for residents—it builds up the local tax base, funds public services, and creates hundreds of sustainable jobs right in the community.
