Last year Irwin Development Group did a study concerning shop space (suites less than 3,000 square feet) and how much was required given the size and anchor tenant makeup for the various center types. Given the state of the economy and the stormy upheaval that has occurred in commercial real estate these past months, Irwin Development Group decided to look again at these centers to see what has happened over the last 12 months. The results are shown below and compare the 122 properties last year with the same properties from this year.
- Every center saw a decrease in their occupied shop space with the exception of grocery anchored centers of 100,000 to 200,000 square feet, which saw a minimal increase.
- The biggest center declines were in grocery anchored of 200,000 square feet or more (3.3%) and the anchor centers of less than 100,000 square feet (2.6%).
- Vacancies of over 15,000 square feet saw a significant change from last year to this year. Twenty spaces were vacant in 2008; in 2009 that number had increased to 36 vacant spaces of over 15,000 square feet. Not only did we add vacancies in the shop space, but we now have added more anchor space vacant to the vacancies as well.
- The amount of vacant shop space increased form 256 shops vacant to 381 shops vacant. This brought the percentage vacant from 12.5% to 18.1%.
For more on this topic, you may contact us at 425-462-6400.