CoStar sees US retail vacancy peaking near 4.4% in 2026 before stabilizing

CoStar Group, Inc.

CoStar Group, Inc.

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  • CoStar forecast kept U.S. retail outlook broadly balanced through 2026, citing limited new supply as key support.
  • Retail vacancy projected to peak in mid-4.4% range, edge higher in 2026, then stabilize with gradual tightening in 2027.
  • Net absorption expected to stay modest through first half of 2026, then improve to 4 million to 5 million square feet per quarter in second half.
  • Move-outs rose in Q1 2026, driven by large batch closures, higher shutdown rate among mom-and-pop tenants.
  • Downside risks flagged around higher oil and gas prices, softer labor market, weaker-than-expected population gains.


Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. CoStar Group Inc. published the original content used to generate this news brief via Business Wire (Ref. ID: 20260504103646) on May 04, 2026, and is solely responsible for the information contained therein.

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