"SAN JOSE The South Bay retail market is showing signs of weakness following the departure of some big box stores, according to a new report. Retail vacancy levels were higher and asking rents were lower in Silicon Valley during the April-through-June second quarter compared with the January-through-March first quarter, Cushman & Wakefield, a commercial real estate firm, stated in its latest report on the area's retail sector."
"The largest retail property purchase in the South Bay during the second quarter involved the long-shuttered Orchard Supply store in south San Jose in July. An affiliate of Dollinger Properties paid $7.3 million for the 5651 Cottle Rd. property. Here are the second-quarter vacancy rates for the primary retail markets in the South Bay, as reported by Cushman & Wakefield: Sunnyvale and Cupertino: 3.1% North San Jose and Milpitas: 4.5% Palo Alto, Mountain View, and Los Altos: 5.1%"
Retail vacancy levels in Silicon Valley increased in the April–June quarter compared with January–March, driven by the exit of several national retailers. South Bay retail vacancy rose to 5.2% in the second quarter, up from 4.7% in the first quarter. Monthly asking rents averaged about $2.81 per square foot in Q2, down from $2.92 in Q1. Vacancy rates varied by submarket, from 3.1% in Sunnyvale and Cupertino to 7.5% in Morgan Hill and Gilroy. Major transactions included a $7.3 million purchase of the former Orchard Supply property and a $95 million sale of The Plant, with subsequent new leases.
Read at www.mercurynews.com
Unable to calculate read time
Collection
[
|
...
]