US Retail Vacancy Rate Continued Climbing in Q3 2009The increase in the US retail vacancy rate in Q3 2009 was driven by both supply and demand. On the demand side, the occupied stock declined by 1.2 million square feet (negative net absorption). This represents significant deceleration of the decline in demand for retail space compared to Q2 and Q1 2009 when the occupied retail stock decreased by 5.4 million sqaure feet and 10.7 million square feet, respectively. However, this trend is not predicted to continue in the next quarter according to the NAR/CBRE-EA forecast. The supply side contributed also to the increase in the national retail vacancy rate in Q3 2009 as 3.5 million square feet of new retail space was completed, slightly higher than the 3 million square feet of new space that was completed in Q2 2009. Despite a rising vacancy rate, according to the NAR/CBRE-EA data, retail rents remained stable in Q3 2009, following decreases of 0.5% in Q2 2009 and 0.6% in Q1 2009. If you have an interesting comment in relation to this article please use the form below Related Posts to submit it. Please read submission guidelines before writing and submitting your comment.
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