Good News: Vacancy rates at malls averaged 9.4% in Q4 ’11 down from an 11 year high of 9.6% in Q3 ’11 but way up from the all-time low of 5.5% in ’07. Meanwhile vacancy rates at strip malls held steady at 11%. As for pricing, mall rents rose to almost $39/ sq. ft. up slightly from Q3 ’11 and up for the second straight quarter while rents rose 20 cents to $19/ sq. ft. in strip malls, the first (albeit tiny) rise in over 3 years.
Tag Archives: vacancy rates
Families in the Market
I am quite bullish on the multi-family area of the market where demand is strong and strengthening and vacancy rates are declining. The apartment space looks good but as the homeownership rate continues to fall, the improvement in MF is coming at the expense of the single-family sector. This is important to consider because household formation (which itself is highly job dependent) is only part of the story.