AUSTIN’S RETAIL MARKET CONTINUES TO POST GAINS
Austin’s retail market at mid-year has experienced a drop in occupancy due to the pull-out of national retailers such as Circuit City and Sportsman’s Warehouse. However, the impact of these vacancies has been partly mitigated by the re-tenanting of several of the box stores by concepts ranging from soft goods to grocers to office supplies.
Austin reports active leasing market and positive job growth. Austin also continues to see one of the most active leasing markets in Texas, prompted in part by job growth that has remained positive for much of the current economic downturn, although the area did lose report job losses for June.
As of mid-year 2009, the Austin retail market reported an occupancy rate of 92 percent, down approximately 1 percent compared to year-end 2008. The occupancy rate is based on a retail inventory of approximately 40 million square feet of multi-tenant retail space in centers with 25,000 square feet or more.