The Sacramento market is home to 2.4 million residents, ranking it above Austin and Las Vegas, but just below Portland, nationally. The region has benefited from near record net migration since the start of the pandemic as Bay Area residents have relocated throughout northern California, with Sacramento as a top destination. The primary draw is a lower cost of living that affords more space at a higher quality of life. Alongside the growth in population came an increase in the median household income, which reached $69,000, more than 5% above the national average. These changing dynamics have led to an improving retail landscape.
- As of May, leasing looks to be trending in the right direction, with 12 leases of 10,000 SF or more in 2022, with fitness and discount retail remaining as the top tenant types.
- Rent growth has been distributed across all product types. Malls and power centers have led the market with rent appreciation of 2.2% and 0.8%, respectively. Strip centers are showing rent growth of 1.7%, while general retail recorded 1.4% growth along with neighborhood centers resting at 1.0%.
- Sales volume for the past 12 months rests at $1.4 billion, surpassing the three-year average of $855 million. A handful of large transactions has pushed sales volume over the $1 billion threshold.
© CoStar Group - Licensed to Capital Rivers Commercial - 978909
Just call our name,
we'll be there.
When you leave a message with us, you’ll hear back right away. We’ll listen to your goals and come up with a creative, effective plan and walk you through the brokerage process. Our commitment to great communication starts now.