Drew Alexander, president of Houston-based Weingarten RealtyInvestors also says that much of the vacant retail space in Houstonmay remain without tenants because of poor location and layout.Houston is also seeing a rapid expansion of the grocery sector, headds, but a shake out is looming in that sector too.

"Overall, Houston retail seems to be in pretty good shape," saysAlexander, a past president of the International Council ofShopping Centers. "Overall retail occupancy is only about 88%, butwhen you take out the properties that were built in the early1990s, retail occupancy is around 92%. Those centers that shouldnever have been built skew the occupancy statistics."

Most of the Houston shopping centers that have remained vacantover the years lack tenants because of fundamental flaws, Alexandersaid in an interview with GlobeSt.com. "There are still a number ofpoorly conceived properties that were built in early 80s - someperpendicular to the street, many in the middle of the block, a fewwith nightmarish architecture - and those centers are naturallyharder to lease, so they remain vacant."