The valley’s retail market saw 79,800 square feet of positive absorption in the third quarter, reports RCG Economics. It’s a refreshing reversal from last quarter’s 274,800 square feet of negative absorption. Positive absorption was driven by activity in northwest community centers, most notably Fry’s Electronics locating inside the former Great Indoors in the Boca Park shopping mall. Positive absorption was partly aided by no new anchored retail space being completed in the third quarter. In fact, only three retail projects have been completed over the past two years. “The valley’s anchored retail market appears to have reached bottom, with the vacancy rates dropping for the second consecutive quarter,” said RCG Economics principal John Restrepo. “We are now at 12.8% but will be a long haul before the market returns to its long term trend rate.”
