Dollar Store Market Report 2025 | Mid-Year Insights from B+E
The Dollar Store Market Report 2025 reveals how discount retailers are reshaping U.S. commercial real estate. In mid-year findings, Dollar General and Dollar Tree continue to outpace traditional retail giants like Walmart and Target, fueled by aggressive expansion and rising consumer demand.
Dollar Store Market Report 2025: Key Market Shifts
According to B+E’s latest analysis, the dollar store sector is growing at a pace unmatched by other major retailers:
- 617 properties on market (down 9.4% since end of 2024)
- Average cap rate: 7.37% (up 7 basis points)
- Average lease term: 8.5 years
- Dollar General accounts for 414 listings, or 67% of total inventory
These trends highlight a tightening supply and evolving lease dynamics that investors should watch closely.
Dollar Stores Outpacing Retail Giants
Since 2019, foot traffic at Dollar General and Dollar Tree has surged over 45%, while Walmart and Target saw only modest gains of 1.1% and 4.2%. This growth underscores how budget-conscious shoppers are fueling the rise of dollar stores, making them a focal point for net lease investors.
What Investors Should Know from the Dollar Store Market Report 2025
For investors, the implications are clear:
- Demand is strong for discount retail real estate.
- Cap rates are rising, signaling new opportunities.
- Lease terms are shorter, requiring careful evaluation of risk and return.
- Expansion is ongoing — Dollar General alone has plans for nearly 5,000 projects in 2025.
With the sale of Family Dollar and Dollar Tree surpassing 9,000 store locations, this sector remains one of the most dynamic in commercial real estate.
The Dollar Store Market Report 2025 provides clarity in a shifting retail landscape. Whether you’re a seasoned investor or exploring new opportunities, understanding these trends is essential for making confident, data-backed decisions.