Sacramento retail market struggling

from Marcus and Millichap (9/12):

SACRAMENTO RETAIL MARKET FEELS
EFFECTS OF SOFTENING ECONOMY

"SACRAMENTO, Calif., Sept. 12, 2008 – In the Sacramento retail market, the ongoing housing downturn and an overall weakened economy have contributed to vacancy rising in each of the past seven quarters, according to a third-quarter Retail Research Report by Marcus & Millichap, the nation’s largest real estate investment services firm. Although sales activity is forecast to stay near current levels, eroding corporate profitability may encourage some firms to seek sale-leaseback opportunities in the single-tenant sector as a means to raise capital.

“Investors may want to explore opportunities near redevelopment efforts downtown,” says Robert Hicks, regional manager of the Sacramento office of Marcus & Millichap. “The 240-acre Railyards project, which will contain entertainment space, urban housing, retail product and a hotel, is expected to accelerate area foot traffic upon its completion in 2009.”" ...

for the complete press release

For the complete report on Sacramento retail, contact Ruth.