Market Strategy

Focused on Essential Retail, Built for Long-Term Value

At AmCap, our investment strategy is rooted in identifying and acquiring grocery-anchored and daily-needs retail centers in high-growth, supply-constrained markets across the United States. We target properties that serve as critical hubs for their communities—locations where people shop every day, regardless of economic cycles.

Our vertically integrated platform enables us to manage every aspect of the investment lifecycle, from acquisition and leasing to property management and disposition. This hands-on approach ensures that we can swiftly adapt to market dynamics, optimize tenant mix, and enhance asset performance.

By concentrating on necessity retail in top-performing submarkets, we aim to deliver consistent, risk-adjusted returns for our institutional partners, while contributing to the vitality of the communities we serve.

 

Asset Class

Necessity Retail refers to shopping centers anchored by grocery stores and daily-needs tenants that serve as the backbone of local commerce This category includes food, pharmacy, healthcare, fitness, pet care and service-based retailers that support routine, in-person consumer activity. 

With over 1 billion square feet nationwide, necessity retail comprises a significant share of the broader U.S. retail landscape and remains one of the most resilient asset classes-offering consistent foot traffic, sticky tenancy, and durable cash flow through all economic cycles.  (Source: CoStar, Q1 2025) 

 

Operational Excellence

AmCap’s vertically integrated platform is central to our ability to unlock value across every stage of the real estate lifecycle. Our in-house asset and create enduring community relevance.

With a deep understanding of retail operations and a fiduciary commitment to our investors, we oversee everything from laser structuring and capital planning to tenant engagement and center-level performance.

Leveraging decades of market experience, long-standing industry relationships and a data-driven approach to decision-making, we take a proactive, hands-on stance on asset optimization-focused on enhancing NOI, mitigating risk and maximizing long-term value across our portfolio.

 

Market Selection

AmCap invests in the top 25 primary and secondary MSAs across the United States that demonstrate strong demographic trends, high barriers to entry and sustained demand.

Our approach combines top-down market selection – focused on population growth, income stability and retail fundamentals – with bottom-up asset-level underwriting to identify grocery-anchored and daily needs centers with long-term value potential.

We have the focus and discipline to uncover value where others don’t look. Our conviction is local-rooted in a laser-focused, 3-mile radius analysis driven by population density, daily needs drivers, and above-average household incomes.

 

Investment Criteria

At AmCap, we target high-performing necessity retail centers that demonstrate long-term durability, strong tenant demand and meaningful upside. Our acquisition criteria include:

  • Deal Size: $10M – $75M+ 
  • Cap Rates: 6.5%+ stabilized (market-dependent) 
  • Occupancy: 85%+ with value-add potential through leasing or repositioning 
  • Anchor Tenants: Market-leading grocery, pharmacy, dollar store, fitness, and QSR brands 
  • Anchor/Credit Income: Prefer centers where credit tenants generate 60%+ of total income* 
  • Grocer Health Ratio: < 4% for well-located grocers in niche markets* 
  • Lease Duration: Weighted average lease term of 5+ years preferred 
  • Trade Area: Strong daytime population with 80,000+ residents within a 3-mile radius 
  • Rent Roll: Diversified tenant base with limited concentration risk 
  • Supercenters: Select opportunities with Walmart, Target, or Costco as anchor tenants*