Las Vegas retail market report

Despite minimal single-tenant construction, the Las Vegas retail market is experiencing a resurgence with several new multi-tenant projects underway. After a period of slowed growth in 2023, construction activity has picked up in 2024. Notable developments include BLVD, a high-profile, 500,000-square-foot shopping destination on the strip. Big-name tenants such as H&M, Adidas, and Puma have already signed on.

The Las Vegas retail market remains a national leader, boasting low vacancy rates and attracting large numbers of visitors as a popular tourist destination. Notably, there is increasing expansion into southern residential submarkets. Overall, the valley's vacancy rate stands at 5.7% in Q2 2024, with specific submarkets like Northwest Las Vegas and East Las Vegas reporting vacancies under 3%, while most other submarkets fall between 3% to 8%.

Las Vegas retail asking rents average $33.05 per square foot across the valley in Q2 2024, a 28% increase from Q2 2020 and about $1.50 higher than Q2 2023. While rents have consistently risen over the past seven years, the rate of increase has slowed. Rents in the Resort Corridor submarket (The Strip), averaging over $88 per square foot, reflect high demand and limited supply. Outer submarkets range from $20 to $30 per square foot, emphasizing the competitive nature of prime retail locations in high-traffic areas.