CoStar has upgraded its U.S. retail forecast, projecting broadly balanced conditions through 2027. National retail vacancy is expected to hold near current levels in the near term before rising minimally, while rent growth should strengthen modestly as limited new supply and healthy tenant demand support occupancy. Brandon Svec, national director of retail analytics at CoStar Group, said the revision reflects stronger-than-anticipated demand earlier this year, with store openings outpacing closures and known closure announcements at their lowest level in several quarters. He noted risks remain tilted modestly to the downside, including higher energy prices from geopolitical conflict involving Iran, renewed tariff uncertainty, labor market deterioration, and weaker population gains from tighter immigration policies.
CoStar Group IncCoStar upgraded its U.S. retail forecast citing stronger-than-anticipated demand and healthy tenant demand.
