Virginia’s shops and stores are seeing some interesting changes. There’s good news for landlords: there are fewer empty spaces overall compared to last year. This means it might be harder for businesses to find a good deal on rent. As a result, we predict the cost to lease retail space is actually going up, especially for larger stores in some areas.
Interestingly, even though there are fewer empty stores, businesses aren’t renting space quite as quickly as they were last year. We are seeing signs of caution in the market. On the bright side, construction of new stores is on the rise, particularly in Northern Virginia and Hampton Roads. This could mean more options for shoppers in the future.
Let’s take a closer look at different types of stores. Small, neighborhood shops have seen a very slight increase in empty space, but rents there have also edged up a bit. For big box stores, the situation is different. There are significantly fewer empty big box stores, and rents for these larger spaces are climbing faster than rents for smaller shops.
It’s important to note that things aren’t exactly the same everywhere in Virginia. The Richmond area is the only place where more businesses are moving into stores than leaving. This means there’s actually more activity there. On the other hand, Hampton Roads and Charlottesville have seen the biggest increase in empty space. And while rents are rising in most areas, Blacksburg is actually seeing a decrease in rent prices for stores. Winchester, on the other hand, is experiencing a big jump in rent costs.
So, Virginia’s retail market is a mixed bag. There’s less vacancy overall, but rents are climbing, and leasing activity has slowed down. New construction is on the rise, though, which could bring more options for businesses and shoppers in the future.
