In a second-quarter report, Colliers is pointing to "stability" in summing up the performance and the outlook of the market.
But it was a mixed three months through June. Starting with the negatives, vacancy ticked up by 30 basis points year-over-year to 4.7 percent. Average asking leasing rates declined from $20.42 NNN per square foot to $19.01 per square foot.
On to the positives, demand was strong, with net absorption hitting 437,391 square feet. That's more than double the 192.3 million square feet posted in the same period a year ago.
Also, Colliers notes that there is "strong investor interest and sustained demand for retail space throughout the market," with $704 million in sales recorded through the past year. The average sales price is $202 per square foot, with cap rates ranging between six percent and 6.50 percent.
"Single-tenant, net-leased assets backed by reputable, creditworthy tenants such as Walgreens and CVS continue to attract investor interest, with several properties of this nature changing hands over the past year," Colliers said.
Blackwater Regency LLC made the biggest purchase in Jacksonville's retail sector, with its $19.1 million acquisition of a 909,000 square foot property. The next largest in terms of volume were SouthCoast Commercial LLC and Thomson Realty & Development, with buys of $7.7 million and $6.86 million, respectively.
Colliers points to other underlying metrics as well, including Jacksonville's strong population growth, which leads to "robust GDP."
Additionally, retail supply is starting to cool down. Just 483,200 square feet of product was under construction compared with the 891,300 square feet seen 12 months ago.
"The retail market fundamentals in Jacksonville are anticipated to maintain stability into the third quarter of 2025," Colliers forecasts
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