Retail sales post highest growth since 2012; rent growth continues to rise 

  • Retail and food sales posted a 6% year-over-year gain in Q2—the biggest such increase since 2012.
  • Asking rent growth continued to rise, despite concerns over vacancy.
  • Although down from Q1, net absorption remained positive. 
  • Consumer sentiment remained historically high, despite a small decline from Q1.
  • Store closures and e-commerce growth continued to negatively affect the lifestyle & mall segment. 
  • New supply remained limited, creating opportunities for redevelopment of existing properties.
  • With the unemployment rate at its lowest level in many years, wages and spending are expected to post healthy growth for the remainder of 2018.