Boston Retail Market Report

Urban churn and suburban resilience shape leasing dynamics. Boston’s suburban retail landscape continues to see strong demand, driven by essential service providers favoring small-format, convenience-oriented locations. Worcester, Framingham and Southern New Hampshire exemplified this trend in 2024, recording their strongest net absorption since before the pandemic. An average lease term exceeding five years further signals growing tenant confidence. Meanwhile, in closer-in suburbs and the urban core, experience-driven concepts are fueling growth, as traditional retailers remain cautious about large footprints. This shift is evident in the northern suburb of Malden, where an adventure park will backfill 55,000 square feet in a neighborhood center. High-profile retail corridors, such as Back Bay and the Seaport District, are also attracting tenants like golf simulators, art studios and bars. With the MBTA considering late-night service expansion and a new law authorizing 225 additional liquor licenses for the city of Boston, demand for entertainment- driven retail could keep accelerating.