While it is still early to determine if the city of Austin has returned to a sense of “normalcy”, the amount of foot traffic in retail establishments has increased significantly during Q2 2021.
Seven projects delivered in Q2 2021, totaling 130,282 sq. ft. However, developers appear to remain hesitant to kickstart any additional retail projects as the total amount of new developments under active construction fell to 27 projects spanning 528,083 sq. ft.
The increased foot traffic observed throughout the metro has given a slight bump to overall occupancy, climbing 20 basis points (bps) quarter-over-quarter to 94.8%.
Asking rates throughout the metro increased $0.25 per sq. ft. quarter-over-quarter, with the most significant increases occurring in the suburban submarkets.