The Orange County retail market in Q4 2025 maintained stable vacancy and rental rates, while construction activity increased compared to last year. Sales pricing continued to rise, supported by compressed cap rates, signaling strong investor confidence. Net absorption turned positive despite a sharp decline in construction deliveries. Explore our full Orange County retail market review for detailed trends and transaction insights.
4Q 2025 Orange County Retail Market: Key Data Points
- Vacancy Rate Holds Steady: Vacancy remained at 3.6%, up just 10 basis points year-over-year.
- Asking Rents Flat: Average asking rent was $2.64 per SF per month, virtually unchanged from Q4 2024.
- Construction Pipeline Expands: Space under construction totaled 295,304 SF, a 33.8% increase year-over-year.
- Sales Pricing Climbs: Average sales price rose to $551 per SF, up 5.1% compared to last year.
- Cap Rates Compress: Average cap rate dropped to 5.0%, down 80 basis points year-over-year.
- Net Absorption Positive: Q4 absorption recorded 10,935 SF, reversing prior negative trends.
Click here to subscribe to Kidder Mathews market research.