The East Bay retail market in 1Q 2026 experienced a modest rise in vacancy, stable asking rents, and a continued pullback in construction activity, while net absorption remained negative following limited momentum last year. Explore our full East Bay retail market report for deeper insights into leasing activity, investment trends, and development patterns across the region.
1Q 2026 East Bay Retail Market: Key Data Points
- Vacancy Edge Higher: Vacancy increased slightly to 5.6%, up 50 basis points year-over-year.
- Asking Rents Hold Steady: Average asking rent remained stable at $2.42 per SF per year, showing only a 0.24% annual increase.
- Construction Pipeline Contracts: Retail space under construction fell to 56,390 SF, a significant 60.43% decline year-over-year.
- Construction Deliveries Plummet: Deliveries totaled just 7,350 SF for the quarter, down 95.27% from the prior year.
- Net Absorption Dips Negative: Net absorption recorded -10,851 SF, reflecting softer tenant expansion activity.
- Sales Pricing Softens: Average sales price decreased slightly to $311 per SF, a 2.93% year-over-year dip.
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