1Q26: Charleston MSA Retail Snapshot

Charleston’s retail market remains one of the tightest I have seen in my career, with overall vacancy sitting around 3.4% and many core submarkets operating closer to 2%. While we’ve seen slightly negative absorption this quarter, that’s more a function of limited available space than weakening demand. Retailers are still actively expanding, but they’re competing for a very constrained supply of quality space. Rents continue to hold strong, averaging roughly $26.66 per square foot, and new development remains measured due to entitlement and construction constraints. Lease rates continue to exceed historical rates and the point of where maximum rents versus what some tenants can afford is very close.