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Houston retail occupancy down in February, more shuttered from COVID-19

​HOUSTON – The local retail market’s occupancy rate was at 94.2 percent as in February, down 20 basis points from this time last year, according to NAI Partners. 

Of the 3.1 million sf currently under construction, the availability rate stands at 34 percent.

The retail market recorded 1.3 million sf of leasing activity, almost double the year-to-date activity from February 2019.

Net absorption was 682,000 sf. There was 982,000 sf delivered to the market in the past 12 months, of which 71 percent is occupied. 

The average asking retail rental rate was $17.94 per sf on a triple net basis, up 1.5 percent from this time in 2019 at $17.68 per sf. 

In an attempt to slow the spread of the coronavirus, The Galleria Mall, Katy Mills Mall, Houston Premium Outlets, and Memorial City Mall have all announced temporary closures, impacting nearly six million sf of retail space. 

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​Source: NAI Partners​​

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