Retail Trends and Outlook

Each year, our industry experts evaluate and review the Raleigh, Durham, and greater Triangle commercial real estate market’s annual performance. We share activity and trends from the market data we analyzed and experienced in 2024 to activities we anticipate in 2025.

What are the key market drivers? How have the different real estate sectors performed?

In this segment, we interviewed Joaquin Canals, Senior Vice President to share his thoughts on retail trends. To learn more about other property types click on office, land, flex, investment sales, and warehouse.

What was unique about 2024? And were there any milestones for this property type?

Very little new construction except for supermarket driven projects (Publix, Harris Teeter, Food Lion), or free-standing big boxes (Costco, Home Depot, Lowes, Tractor Supply, Wal-Mart, Lidl).

Who were the big “winners” in this property type?

Landlords were able to increase rents in small shop spaces due to limited available space.

Do you see any new emerging trends? Where do you see growth occurring?

I expect to see more midsize boxes going dark (Michaels, Bed Bath and Beyond, Big Lots). Malls will continue to suffer.

What do you anticipate for 2025?

Unfortunately, more of the same.

In our market, what challenges are there in this property type?

Difficult retail rezoning process. High small shop rental rates make it a challenge for small, local retailers.

What factors are you seeing drive CRE decisions in this property type?

There is just a lack of activity due to almost no construction, making existing spaces desirable.

What do you love about working with this property type?

The dynamics between Landlords and Tenants and how retailers adapt to the ever-changing retail landscape.

As you look ahead, planning your CRE goals for 2025, let our real estate advisors help guide you with insider market knowledge and experience.

Contact info for all our professionals can be found at
https://www.triprop.com/about/team/

Access our full market reports here
https://www.triprop.com/category/market-reports/

2024 Triangle Market Overview and 2025 Forecast: RETAIL