Jacksonville Retail Market Report 2nd Quarter 2021

Despite rumors in the past few years of a retail apocalypse and an economic downturn caused by the Covid-19 pandemic, retail in northeast Florida is alive and well proving that real estate with good accessibility and high traffic will always be a need. After a few consecutive quarters of retailers taking a conservative wait and see approach due to the economic downturn, vacancy rate is on the decline again. Steady population and job growth, which has outperformed the national average for the past eight years, along with an increase in median income have been the key demographic ingredients causing retailers, restaurant chains, fitness users, and more to chase newfound discretionary income.

While the market as a whole has performed well, Southside/Gate Pkwy, St. John’s County, and Riverside have seen the most activity, and will maintain momentum with numerous active developments happening in each of those submarkets. St. John’s County remains a hot spot for developers as Gatlin Development Co. Inc. recently announced another grocery anchored project in St. John’s County at the intersection of U.S. 1 and Racetrack Rd.

Some of the brands that have capitalized on our market’s economic growth include Dollar General, Five Below, Visionworks, Culver’s, Whataburger and many more. We also saw the return of some box users absorbing space as Bailey’s Powerhouse Gym, Crunch Fitness, and Tractor Supply announced new leases. A good sign for landlords across our market. As the economic trends in northeast Florida continue to point up, look for retailers to continue to capitalize and find opportunities to plant their flags.