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You are here: Home » Resources » Articles » Retail Market Update: Holding Steady Despite Store Closures

May 5, 2025

Retail Market Update: Holding Steady Despite Store Closures

By Partner ESI

Low Vacancy, High Rent Spreads Continue to Support Retail Real Estate Investment

By Joseph Miller, MAI, MRICS, Managing Director for Partner Valuation Advisors,  published on May 05, 2025, on GlobeSt.com

As we continue to move through 2025, which is likely to bring continued economic uncertainty, many investors will be watching to see how retail closure and backfills impact their overall portfolio. While there are retailers in the market looking for space, many are being more cautious than their predecessors when signing large, long-term leases. Many investors also believe that retail in the U.S. is under demolition and as we continue to see mall redevelopments take way and the available retail vacancies should continue to trend downwards, creating opportunities for retail owners.

In this latest GlobeSt article, Joseph Miller discusses how low vacancy will offset store closures, how grocery-anchored stores are still favored, and shares some trends to watch for the rest of 2025.

About the Authors

Partner ESI

Partner ESI

Partner Engineering & Science, Inc. is a full-service engineering, environmental, and energy consulting and design firm with over 1,000 professionals with experts based in locations throughout in the United States, Canada, Caribbean & Latin America (CALA), and Europe. As industry leaders in due diligence assessments, they bring over 100 years of collective experience to complex engineering challenges and risk management in commercial real estate and development. Founded on technical excellence and client service, Partner's team includes licensed Professional Engineers, Environmental Professionals, Geologists, Architects, LEED Accredited Professionals, and other credentialed specialists who provide comprehensive solutions across the real estate lifecycle. Their deep expertise spans environmental site assessments, property condition assessments, seismic risk analysis, construction risk management, industrial hygiene, energy efficiency consulting, regulatory compliance, and more.

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