Baltimore Retail Market Report

Despite near-term pressure, tailwinds emerge. Development continues to subside in Baltimore, with this year’s expected total marking the lowest level since at least 2007. However, a contraction in gross metro product and below-average population growth are expected to keep net absorption negative, lifting vacancy to a comparatively high level among major U.S. metros. While the 2026 outlook remains measured, several large-scale initiatives may provide a more constructive backdrop, particularly in the core. The Harborplace redevelopment and Downtown RISE initiatives should enhance foot traffic and corridor quality, supporting underlying retail demand in Downtown Baltimore, which recorded one of the largest vacancy increases last year. Several suburban submarkets posted triple-digit multifamily vacancy declines, including East Baltimore County and Ellicott City-Eldridge, supporting near-term retail performance.