Q3 2020 Retail Market Report
The Albuquerque retail industry is shifting across the board due to the prolonged economic effects of COVID-19. This situation has caused vacancy levels to rise and asking rents to decrease throughout the retail sector.
In response to this “new normal,” restaurants have reconfigured their dining floor plans to accommodate for social distancing, outdoor seating and pickup/delivery services. Department stores as well as other retailers are adjusting to the increasingly competitive ecommerce
marketplace and doing what they can to adapt to changes in the marketplace.
Fortunately, some businesses such as discount retailers, medical, pharmacies, hardware stores, grocers and on-line retailers like Amazon are prospering in this environment. Multiple national resources indicate many QSR brands are doing record volumes thanks to drive-thru and takeout orders. Other less adaptable business models are not faring as well.
At the beginning of Q3, retail traffic in Albuquerque, NM was up 3.2% compared to the baseline period of February 1-23, 2020 (Pre COVID-19). Nationally, retail traffic was on average down 35.2% during that same period. In Albuquerque, NM, the Convenience Stores category had
the largest change, up 84%. (according to LocateAI Retail Tracker).
Barring a resurgence in coronavirus cases this fall, retailers are looking to the holiday season to bring some much needed relief as there appears to be continued strong consumer demand.
To view the full Q3 2020 Retail Market Review, click here
The Retail Team Q3 market research and data is compiled by NAI Maestas & Ward commercial real estate information specialist, Frankie Hermosillo. Frankie assists in the identification, evaluation, and monitoring of investments as well as researches and maintains databases of economic and real asset-specific market data/metrics.