Riverside San Bernardino Retail Market Report
Population Gains Heighten Inland Empire Retail Demand, Investor Competition for Triple Net Assets
Second quarter absorption the highest in two decades. Seeking a regionally lower cost of living, individuals and families have relocated to Riverside-San Bernardino during the health crisis. The influx of new residents has translated to a historically strong rate of household formation that is lifting retail demand. Discount stores, home goods shops and fitness centers are responding by expanding or renewing existing leases, which has supported positive leasing momentum. From April through June of this year retailers absorbed more than 1.2 million square feet, lowering vacancy 70 basis points on a quarterly basis. During the three-month span, At Home and Floor & Decor each committed to 90,000 square feet at a former Sears in Rancho Cucamonga, while Brands 4 Less, Harbor Freight Tools and LA Fitness each inked agreements for more than 20,000 square feet.