Retail Market Enters a Stalemate

The retail market could be heading toward a stalemate between sellers and buyers. A new report from NAI Capital shows that the retail vacancy rate ticked up in the second quarter, while retail rents continued to increase. The vacancy rate increased a nominal 10 basis points, but rents increased a surprising 3% over the last quarter. We sat down with Fariba Kavian, EVP at NAI Capital, for an exclusive interview to talk about the dynamic in the market. While she wasn’t concerned about overbuilding in retail, she said that’s sellers and buyers will likely enter a stalemate on pricing through the end of the year.

GlobeSt.com: What is putting upward pressure on retail rents, even as vacancy rates rise?