Independent CRE Broker of Commercial Affiliated

2nd Quarter 2014: Chicago Suburban #CRE #Retail Market Update


2nd Quarter 2014: Chicago Suburban #CRE #Retail Market Update

May 2014 saw some improvements in the consumer confidence level as well as in retail sales. Per the National Retail Federation May's seasonally adjusted month-to-month retail sales were unchanged; though unadjusted month-to-month year-over-year retail sales rose 3.0%.

 

May's sales in retail categories such as building supply stores, furniture stores and non-store retailers, including online sales were strong. In April 2014, the Conference Board's Consumer Confidence Index decreased to 81.7, but in May, it ended at 83.0. For a stable economy a reading over 90 points is required  and 100 points or more indicates a strong growing economy. 

 

For the 2nd quarter of 2014, Chicago's retail market ended with a vacancy rate decrease of 0.3% going from 10.4% in the 1st quarter to 10.1%. Compared to one year ago it has increased 130 basis points.

 

Most of this is due to the 82 Dominick's that have closed within the market. Fortunately, these spaces are slowly being absorbed by such retailers as Mariano's, Jewel and Whole Foods. 

Submarket

Far N.W. Suburbs
N.W. Suburbs
Far North Suburbs
North Suburbs
Far West Suburbs
West Suburbs
City North
City South
Far S.W. Suburbs
S.W. Suburbs
South Suburbs
Kane County

TOTAL

Gross Bldg SF

13,205,828
14,576,525
8,525,082
9,415,164
21,595,716
8,327,168
6,015,172
8,990,219
8,642,031
6,478,059
11,695,110

125,633,556

Vacancy Rate

9.0%
12.4%
11.9%
6.6%
14.0%
5.7%
4.5%
9.4%
6.5%
6.8%
18.6%
10.1%

10.1%

Average Asking Net PSF

$15.11
$19.28
$16.85
$19.48
$19.21
$18.19
$23.03
$16.38
$16.01
$13.53
$14.83
$17.62

$17.62

Retail Rental Rates have seen a slight increase in most Chicago Suburban Markets

statistical information provided by CBRE Chicago Retail MarketView Q2 2014
Kristian Lee (84 Posts)

Kristian is a licensed Illinois Commercial Real Estate broker with over 10 years’ experience working with small to medium sized businesses locally and nationally as well as owners of real estate from office, retail to industrial at Suburban Real Estate Services, Inc.. in Lisle, IL. Kristian specializes in branding each property he represents through different marketing tactics, boots on the ground and the latest technologies gained from his experience of marketing rock bands to commercial properties. For each tenant representation assignment he becomes his client's "in-house" broker walking them through the process from initial meeting till occupancy. He is the founder of Commercial Main N State, a blog providing tips and market rental trends to small businesses on #CRE. He currently is the 2014-2016 Chair of the Mainstreet Organization of Realtors® Commercial Alliance.



Please share your comments!

%d bloggers like this: