Toledo retail market improved in 2013

Published: Friday, 1/17/2014

BY JON CHAVEZ BLADE BUSINESS WRITER

The Toledo-area retail market improved considerably in 2013, fueled by new stores or expansions that pushed the overall vacancy rate down a full percentage point from the previous year.

According to the year-end report from Toledo commercial real estate firm the Reichle Klein Group, the overall retail vacancy rate shrunk to 13.2 percent last year from 14.2 percent a year earlier.

Perhaps even more impressive, the vacancy rate for anchor store spaces dropped to 9.8 percent from 13 percent a year ago, according to the report. The decline marked the first time since 2004 that the vacancy rate for anchor spaces in the Toledo market has been below 10 percent.

Overall, the retail market absorbed 377,150 square feet of vacant space in just the last six months and a total of 729,000 square feet for the year.

Youre seeing a continued recovery for certain, and its definitely a pleasant thing to see, said Kurt Pollex, a commercial real estate agent with the Reichle Klein Group who helped prepare the report.

The big box properties have either been resurfaced or filled. And the big box eyesores the vacant cinemas have been taken down. Its certainly more appealing visually, and the improvement makes less space available, Mr. Pollex said.

Reichle Klein said that a large factor in the reduced vacancy rate is the redevelopment or repurposing of commercial sites in the Toledo area instead of new development on greenfield sites, a process that remains dormant.

Speculative construction just isnt there and it will take time for that without having a tenant, Mr. Pollex said.

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Toledo retail market improved in 2013