Jacksonville Retail Market Report

Visitors bolster retail space needs in submarket trio. Available retail space remains limited in Southside, Jacksonville Beaches and Downtown Northbank, despite a broader stabilization taking place in the metro. Vacancy in each submarket declined to historic lows over the year ended in March, contrasting a 60-basis-point rise marketwide. A determining factor has been limited new supply, with each submarket recording annual growth rates of 1.0 percent or lower. As each area also represents a primary tourist corridor, demand for nearby retail space has also been bolstered by elevated visitations to the metro. Jacksonville International Airport recorded its second-busiest year on record in 2022, with visitors boosting retail sales in the submarket trio. The airport is also underway on more than $100 million in upgrades, which should help facilitate larger travel volumes once completed.