1Q25: Charleston MSA Retail Snapshot

“Uncertainty continues to be the underlying sentiment throughout the market. Tariffs, inflation, interest rates, construction costs, entitlement delays, commodity costs, employee shortage, etc. have all been cause for this uncertainty. However, despite all of this, retail remains strong in the Charleston MSA. Vacancy rates continue to stay at historically low levels with little expectation of significant inventory additions. Lease rates should remain
stable, most of which appear to be at or beyond their maximum rate. Many retailers are curbing additional expansion plans until the market stabilizes. The net leased investment markets remain active with cap rates showing little movement as 1031 buyers continue to transact. Overall, the supply is still steady, with some markets holding more opportunities than others.” – Will Sherrod, CCIM