Baltimore Retail Market Report

Signs of recovery begin to emerge. Baltimore is just one of three major U.S. markets where vacancy is still at least 100 basis points above the 2019 level entering April. However, the retail sector has shown strong signs of recovery in recent quarters. After reaching a 15-year high of 6.9 percent in early 2021, the vacancy rate has since fallen to 6.1 percent in March of this year, driven by more than 1.5 million square feet of positive net absorption during this span. Amazon Fresh has signed on for three new locations in the past two years, while tenants like Coppermine, Giant Food, AutoZone, Bob’s Discount Furniture and Ross Dress For Less have all committed to floor plans exceeding 20,000 square feet since November 2022. Limited development also aided performance, as annual supply additions in each of the past three years have fallen well below the metro’s long-term average of 821,000 square feet per annum.