What is Anchor Tenant?
An anchor tenant is a large, well-known business — like a grocery store or major retailer — that occupies a big portion of a shopping center and draws steady customer traffic that benefits the smaller tenants around it. Anchors usually get favorable lease terms because of the value they bring. Losing an anchor can hurt a whole center's income.
Example: A supermarket serves as the anchor tenant of a strip center, and the smaller shops nearby pay higher rent because the grocery store brings them foot traffic.