Houston retail occupancy rate at 93.6%.
OCCUPANCY RATE AT 93.6% Occupancy in the Houston retail market is at 93.6%, down 10 basis points from this time last year. The net amount of square feet absorbed (move-ins minus move-outs) is positive 875,000 sq. ft. thus far in 2021—down year-over-year from positive 1.1 million sq. ft. The occupancy rate of the 82 buildings totaling 1.2 million sq. ft. delivered to the market so far in 2021 stands at 60.8%. Of the 95 properties comprising 2.2 million sq. ft. under construction, the availability rate stands at 33.2%. Year-to-date through April, the Houston retail market has recorded 2.3 million sq. ft. of leasing activity—which is comprised of both new leases and renewals—down about 32% from one year ago.
RETAIL RUNDOWN Recent lease transaction include Barnes & Noble renewing 26,418 sq. ft. in Vanderbilt Square on W. Holcombe Blvd.; Burkes Outlet inking a deal for 22,500 sq. ft. in Angleton in the Far South submarket; and a 15,000 sq. ft. transaction by Aaron’s in Jones Plaza in the Fairfield submarket. After almost two years that Houston-based Charming Charlie filed for Chapter 11 bankruptcy for the second time, the fashion retailer is reopening more brick-and-mortar stores. The Houston-area stores will be at First Colony Mall in Sugar Land and Willowbrook Mall in Houston.
RETAIL AND ROOFTOPS Low interest rates inspired consumers to snap up high-end homes in April at a pace never before seen, sending prices to new highs while keeping home inventory at historic lows. According to the Houston Association of Realtors, single-family homes sales were up 47.4% compared to last April with 9,105 units sold versus 6,175 a year earlier. That represents the biggest one-month year-over-year sales volume increase of all time and is the market’s eleventh consecutive positive month of sales. On a year-to-date basis, home sales are 24.4% ahead of 2020’s record pace.
Director of Research
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