Market Report
Los Angeles Retail Market Report
3Q 2026
Supply, Demand Become More Aligned
Yet Record Vacancy Persists
Trajectory of CBD fundamentals shifts course. The volume of available retail space across Los Angeles County changed slightly over the 12 months ended June, a positive for a metro still challenged by historically elevated vacancy. Adding to the optimism, six of the metro’s 11 major submarkets — including Downtown Los Angeles and other urban core areas — saw vacancy compress moderately over the past year ended in June. With office space and apartment occupancy climbing through the first half, consumer demand could improve across urban retail corridors. This may aid property owners’ retention and backfilling efforts amid scant local retail construction.
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