Richmond retail vacancy rate drops to 6.4 percent for third quarter
- November 6, 2011
In this year’s third quarter, the overall retail vacancy for the Richmond region was 6.4 percent, down 10 basis points from the second quarter , according to a market report from Grubb & Ellis | Harrison and Bates.
The new rate was 80 basis points lower from the recession’s peak vacancy of 7.2 percent one year ago. The report says the highest vacancy lies in the shopping center sector where landlords are struggling to fill small tenant space. Reduced levels of speculative construction have helped the overall market absorb available inventory.
According to Harrison and Bates, third quarter leasing activity was somewhat muted. Other than the usual spate of temporary Halloween stores, one of the most noteworthy leases was for 10,000 square feet by Fresh Market at Carytown Place.
Sales activity was more brisk. The commercial real estate firm expects a continued slow pace in 2012, with additional entertainment retail coming to the Short Pump area of Henrico County.