Regional Retail Market | Overview
- The regional vacancy rate has been steadily climbing, reaching 9.2% at the end of the fourth quarter.
- Vacant anchor stores continue to pose challenges for owners.
- Asking rents have remained stable, but may begin to trend downward for centers with persistent vacancies.
- Investment sales volume was very limited for the year.
Another round of Sears and Kmart closures (on top of those shut earlier in the year) along with the Bon-Ton store shutterings added more large format supply to the regional market. Malls continued to be hardest hit, and vacancy increased by over two percentage points to 12.4%.