Dallas/Fort Worth Retail Market Report
Urban Areas on Better Footing But the Pandemic-Induced Disruption to Retail is Evident
Downtown corridors beat U.S. vacancy increase. The metroplex contrasted national trends when urban occupancy fared better than suburban and the country as a whole. Less reliance on public transportation in Dallas/Fort Worth than in many primary markets and a faster return to downtown offices may have been contributing factors, alongside minimal supply-side pressure in the urban cores. Central Dallas posted just a 10-basis-point availability increase and Central Fort Worth was slightly above this at 30 basis points. The national retail vacancy rate ticked up 40 basis points last year. Nevertheless, outside of these two urban locales, eight of the remaining nine submarkets posted vacancy jumps exceeding 100 basis points. In the first half of 2021, retail space absorption should be stimulated by a broader reopening and pent-up demand for in-person shopping.