NATIONAL PERSPECTIVE
- Retail sales activity has been exceeding pre-pandemic levels since June 2020, as three direct stimulus payments helped boost spending. Near-term positive outlook has prompted consumer sentiment to reach the peak level since the onset of the pandemic.
REGIONAL PERSPECTIVE
- Recovery Underway: Across the D.C. metro region, new COVID cases are on a consistent decline while vaccine rollout continues, paving the way for broad recovery of economic and consumer activity.
- Uneven Impact: Retail neighbourhoods less reliant on office workers and tourists are showing more resiliency, relative to downtown areas such as the East End and CBD.
- Grocer is King: Seven grocery-anchored, mixed-use developments are in the works regionally, as grocer-anchored projects remain sought after by apartment renters.
- Credit Triumphs: Well-credited national and regional restaurant chains, especially in the quick-service category, are the most active tenant segment seeking space in the market currently.
- Sales Outlook Brightens: Investment sales activity is expected to rebound in the coming months as interest rates remain low to allow investors and expanding retailers to raise capital.