The single-tenant net-lease retail market saw a busy first half of the year, with both sales volume and median sales prices on the rise, according to the latest research from Colliers.
In its 2025 first-half report, Colliers said that the U.S. single-tenant net-lease retail sector racked up $5.7 billion in sales volume in the first six months of the year. That is up 9.6% from the second half of 2024.
The median price per square foot of sold properties rose to $309, a jump of 8% from the end of 2024. Colliers said that the net-lease retail sector is seeing a shift toward smaller, more liquid formats, something that reflects changing consumer behavior and a more disciplined approach from investors.
The median cap rate for transactions in the first half of the year dropped to 6.8%, down 10 basis points from the second half of 2024.
Not all net-lease retail sectors are performing as strongly as others. But convenience stores remain an attractive asset type, recording sales volume of $796 million in the first half of 2025, up by nearly 16% from the second half of last year. The median sales price per square foot for convenience store transactions rose to $925.
This doesn’t mean that the convenience store sector doesn’t face challenges. Colliers reported that economic uncertainty and rising prices have forced consumers to cut back on non-essential spending, causing a decline of 4.7% in average visits to U.S. convenience stores in the first half of 2025. Part of this is because U.S. consumers when traveling are opting for shorter, regional “microcations” over long-distance trips, according to Colliers.
Drug stores face challenges, too, with Colliers reporting that the average number of consumer visits to drug stores and pharmacies declined by 3.6% during the first half of 2025. Sales volume in this sector dropped, too, falling to $444 million in the first six months of this year, while the median sales price for drug stores and pharmacies dropped to $257 a square foot.
And what about dollar stores and discount retailers? This sector notched a sales volume of $527 million in the first half of the year and a median sales price of $166 a square foot.
Colliers said that discount and dollar stores saw an increase of 2.9% in foot traffic during the first half of 2025. However, the future is uncertain as these retailers brace for the impact of tariffs as they rely so heavily on low-cost imported goods.
Full-service restaurants racked up $1.07 billion in sales volume during the first half of 2025, with these properties selling for an average of $469 a square foot during this time.
Colliers, though, reported that full-service restaurant visits declined by 1.6% in the first six months of the year. Colliers pointed to economic uncertainty and several years of menu price increases as the reason for this dip.
Colliers reported that quick-service restaurants saw $1.01 billion in sales volume in the first half of 2025, with properties selling for an average of $751 a square foot. However, visits to quick-service restaurants dropped slightly, by 0.6%, in the first half of 2025. Colliers cited a reduction in commuters and fewer long-distance trips leading to a decrease in on-the-go food purchases.
