[bob_theslob646]

Gene Munster clearly does not understand how Amazon works. They dominate on efficiency which comes with scale. I do not think they want to the brick and mortar route, but could be wrong.

His analysis is flawed unless they can pick up Target cheaper than they would be able to custom fit/design their own stores.

I think they would want to own the least amount possible, but they may use stores as storage units if they decide to get into the logistics game.

The Commercial Real Estate in the Retail sector is getting whacked. (In english, it is getting cheap as real estate owners are willing to accept less rather than let a huge building go vacant and receive no income.) With that being said, they will drop a tenant if the likes of Amazon came knocking. The only issue is the leverage that Amazon has may or may not be beneficial for the owner of the real estate.

(http://www.businessinsider.com/store-closures-in-2018-will-e...) (https://www.usatoday.com/story/money/2017/12/20/here-26-reta...)

With interest rates rising in the U.S, it will put more pressure on the retail sector for those whose leases are tied to expensive financing and did not lock in lease/rates.

With all this being said, I see this as very unlikely.