Ever-evolving Dallas-Fort Worth retail market vacancy rate tightens to 5.1%.
Vacancy rate at 5.1%
Eleven months into 2022, overall vacancy in the DFW retail market has tightened to 5.1%, dropping 60 basis points from last year’s 5.7%. Availability is at 5.8%, down 100 basis points from 6.8% in November 2021. The difference between this figure and the vacancy rate reflects expected future move-outs. 8.3 million sq. ft. of leasing activity comprised of both new leases and renewals was recorded, while assured retailers are committing to more space, driving net absorption (move-ins minus move-outs) to 6.2 million sq. ft., up 26% year over year.
Average retail NNN asking rents remain elevated
Positive trends in leasing and absorption have driven average retail asking rents higher. The DFW metro NNN average asking rent is $18.47 per sq. ft., up 8.5% from $17.03 last year. Among the largest leases in 2022, Lifetime Fitness signed a 124,000 sq. ft. lease at 4900 Throne Hall Dr. in West Frisco; At Home signed a 103,640 sq. ft. lease at Timber Creek Crossing in Upper Greenville; At Home inked a deal for 100,890 sq. ft. at 3002 Firewheel Parkway in Garland, and At Home moved into 88,004 sq. ft. in Rayzor Ranch Town Center in Denton.
Dallas-Fort Worth housing market continues to cool down
In November 2022, DFW median home prices were up 9.9% compared to last year, selling for a median price of $390,000. Days on the market registered 44 and days to close 35, tallying 79 days, 15 days more than November 2021. Active listings were up 117.8% at 20,281, while closed sales were down 30.2% at 6,257. Months of inventory is at 2.4 months compared to 1.0 In November 2021.
Leta Wauson
Director of Research
[email protected]
tel 713 275 9618