SAN ANTONIO—San Antonio's robust and steady economy is the biggest reason for its strong balance of retail supply and demand. Along with population growth, the metro is at near full employment with an unemployment rate of only 3.6%, which is keeping single- and multifamily markets healthy. All of that attracts retailers' interest and major concepts to the area, says Weitzman.

In terms of new space, San Antonio reflects the statewide, even nationwide, trend of new construction being dominated by anchors with very limited spec small-shop space. That keeps overall construction in check. New space additions are expected in 2018 and 2019 as large projects in the pipeline–such as the IKEA-anchored Live Oak Town Center–and the expansion of existing projects come on line.

For 2017, the market is on track to add only about 360,000 square feet of new space, based on a Weitzman review of conditions as of mid-year. During 2016, the market added approximately 1.2 million square feet of space in new and expanded projects. The entire market incorporates a total inventory of 45.4 million square feet of multi-tenant retail space in centers with 25,000 square feet or more.