The Nashville retail market did not experience much change in market conditions in the fourth quarter 2012.
The vacancy rate went from 7.9% in the previous quarter to 7.8% in the current quarter. Net absorption was positive 221,353 square feet, and vacant sublease space increased by 6,491 square feet. In third quarter 2012, net absorption was negative 34,789 square feet.
Tenants moving into large blocks of space in 2012 include: Big Lots moving into 29,000 square feet at Sumner Place; Saks Fifth Avenue moving into 27,567 square feet at 433 Opry Mills Dr.
Quoted rental rates decreased from third quarter 2012 levels, ending at $13.39 per square foot per year.
A total of five retail buildings with 122,950 square feet of retail space were delivered to the market in the quarter, with 151,168 square feet still under construction at the end of the quarter.
This trend is compared to the U.S. National Retail
vacancy rate, which decreased to 6.8% from the previous quarter, with net absorption positive 26.998 million square feet in the fourth quarter. Average rental rates decreased to $14.43, and 804 retail buildings delivered in the quarter.
The information in this news report is based on CoStar’s Fourth Quarter 2012 Market Report, a 40+ page comprehensive research report available to CoStar subscribers. To learn more about quarterly research reports and other benefits available to CoStar subscribers, please call 888-226-7404.