Orlando Retail Market Report
2023 Investment Forecast
Central Florida’s Global Tourism Hub and Growing
Population Bolster Retail Spending
Revived consumption by international visitors aids metro. Retail space demand in Orlando has long been underpinned by its tourism backbone, and more recently, nationally strong household formation. The metro’s array of theme parks, which attract tourists from across the globe, have regained prominence as pandemic health concerns have subsided. In March of last year, Orlando International Airport recorded the third-busiest month ever for international passenger volume — a nearly 500 percent boost from 2021. However, as the economy slows globally, tourism spending may taper this year. Helping to backstop any losses to consumer demand, the metro is expected to record rapid net in-migration. Specifically, Orlando is projected to add the fifth most new residents among major U.S. markets in 2023. These demand tailwinds are reflected in recent leasing activity. Major move-ins this year include a 100,000-square-foot BJ’s Wholesale Club in Casselberry and two new Publix supermarkets in the Tourist Corridor and outlying Osceola County. Still, retailer demand will struggle to keep up with supply in 2023, as the completion of 2.3 million square feet places upward pressure on vacancy in the near term.