The Salt Lake retail market has maintained ideal economic fundamentals as Utah continues to foster a healthy job market that attracts others to the state. Shopping mall developers across the Wasatch front are changing their tenant base to include more entertainment and event retailers to draw customers to their locations. There is a tight supply of retail product and little land available in Salt Lake County. The redevelopment of older product continues to revitalize certain areas of the market.
The average asking lease rate increased from $18.86 overall at this same time last year to $21.01 NNN currently due to lack of available space in ideal market locations. The continued expansion of mid-box users and local quick service restaurants as well as the addition of new Utah-market tenants, like Dave & Busters, True Food Kitchen and Giordano’s, pushed vacancy rates to an all–time low of 3.34%, 1.1 basis points higher than last year. The highest average asking rate in the market was in the South East quadrant, posting $30.00 per square foot per month on a triple-net basis in regional space. Asking lease rates will likely