Atlanta Retail Market Report

Demand tailwinds support tight operations. Ongoing, albeit modest, labor market expansion across multiple employment segments will stimulate retail spending in Greater Atlanta this year. Cybersecurity hubs from Walmart and Nike opening in 2023, operating alongside current logistics initiatives, will support recruitment in the local tech sector, despite national uncertainty. Robust demand is reflected with net absorption as well, projected to total over 2 million square feet during 2023. Many of this year’s largest move-ins are for more affluent neighborhoods along the northern perimeter and suburbs like Marietta, where consumer spending will be more resilient. Among these are a number of experiential and wellness offerings, such as Puttshack and Crunch Fitness, targeting a growing number of young professionals. While fundamentals remain solid, climbing consumer prices will nevertheless weigh on retail performance. Atlanta’s rapid population gains as of late have kept the metro within the top five nationwide for overall pace of inflation, which will impact discretionary spending until this metric normalizes.