Occupancy is at 94.4%, down 80 basis points from this time last year. Of the 910,000 sq. ft. currently under construction, the availability rate stands at 46.2%.
Market fundamentals. Occupancy is at 94.4%, down 80 basis points from this time last year. Of the 910,000 sq. ft. currently under construction, the availability rate stands at 46.2%. Year-to-date through July, the San Antonio retail market has recorded 1.1 million sq. ft. of leasing activity—which is comprised of both new leases and renewals—down 52.5% from one year ago. In addition, the net amount of square feet absorbed (move-ins minus move-outs) stands at negative 58,000 sq. ft., with new supply delivering 841,000 sq. ft. to the market this year—of which 70.5% is occupied. The average asking rate of renting retail space in San Antonio is at $16.37 per sq. ft. on a triple net basis, a 3.5% increase compared to this time in 2019 at $15.81 per sq. ft.
Recent retail deals. Despite the COVID-19 pandemic, retailers have been signing deals. Cano Health signed a new lease for 14,950 sq. ft. at 100 S. Zarzamora St. in Buena Vista Plaza in the Northwest submarket; Five Below leased 8,500 sq. ft. at 6065 NW Loop 410 in the Ingram Festival Shopping Center in the Northwest submarket; Texas Hitch & Truck renewed its 9,510-sq.-ft. lease at 4408 N. Interstate 35 in Alamo Business Park in the Northeast submarket; and Buddys Home Furnishings leased 9,798 sq. ft. in SW Military Shopping Center at 238 SW Military Drive in the South submarket.
Positive increases in home sales. According to the San Antonio Board of REALTORS®, home sales in July showed a 25% increase over last year, with 4,231 homes sold last month. Overall, the uptick makes for a 4% increase in the year-over-year comparison of 21,032 home sales compared to 20,208 sales in 2019. Compared to July 2019, San Antonio’s average price of a home increased by 10%. Year-to-date, the average price has shown an increase of 6% year-over-year comparison, with this year’s average price measured from January to July at $282,820.
Director of Research
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