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Beauty, fitness tenants lift demand for retail space, CBRE says
Consumers spent $132 billion on appearance-enhancing products in 2025, and beauty and wellness tenants accounted for 37.5% of leased retail space as of Q2 2026, according to CBRE data.
Social media influencers, celebrity beauty partnerships, and rising interest in health and wellness are reshaping what retail tenants want to offer, according to a CBRE report cited by ConnectCRE.
CBRE attributed growth to what it calls the “vanity economy,” spanning beauty services, cosmetics, and specialty fitness retailers. Consumers spent about $132 billion on appearance-enhancing products in 2025, up from $86 billion in 2020, and beauty and related categories accounted for 37.5% of total leased space as of Q2 2026, according to CoStar data referenced by the report.
The report also points to broader market momentum, with the global beauty market valued at about $450 billion and expected to grow at roughly 5.0% annually through 2030, based on McKinsey data included in the CBRE report.
Brick-and-mortar remains the dominant buying channel for beauty products, representing 74% of sales, while beauty services and boutique fitness are expected to grow at about 10% annually, and consumers spent $45.7 billion on fitness centers in 2025. CBRE said shopping-center owners can benefit from this mix through more foot traffic and longer visits, creating a complementary retail ecosystem.