Despite the strong growth in retail sales in 2017, the retail real-estate market continues to be roiled by trends that look to pick up steam in the future. US mall vacancy rates through the first quarter of 2018 are at the highest level since the end of 2012. Overall retail real-estate vacancies stood at 10% in the first quarter, according to data compiled by Reis.
Filling those retail vacancies will only get harder, suggests a report from Green Street Advisors. The report focuses on trends for in-line tenants, rather than anchors. Since in-line tenants have the greatest impact on mall net operating income, the report states “their performance offers a preferred indicator of mall health.”. . . more