Houston Retail Market Report – 4Q 2012
Houston’s retail market posted 1.1M square feet of positive net absorption in Q4, bringing the year-end 2012 total to 1.2M SF. The opening of Phase 1 of the Tanger Outlet Center in Texas City, as well as the opening of the new HEB in Cypress, contributed over 534,000 SF to the fourth quarter’s positive net absorption. Other tenants that moved during the fourth quarter include American Girl, Wellborne Cinema, Bone Daddy’s and Serious Cigars.
Houston’s retail vacancy rate decreased from 7.2% to 7.0% between quarters as well as over-the-year. Due to the large amount of new inventory deliveries, Houston’s retail vacancy only decreased 2% between quarters, despite the significant positive absorption.
The citywide average quoted rental rate for all property types is $14.34 per square foot; however, rental rates vary widely from $10.00 to $70.00 per square foot depending on location and property type and class.
Please click here to access the full Q4 Houston Retail Market Research & Forecast Report.