Palm Beach County sees retail recovery

The retail real estate market in Palm Beach County, particularly in West Palm Beach, is gaining ground as the area’s economy shows strength, according to a report from Marcus & Millichap. Vacancy in the county is projected to fall by 60 basis points in 2012 to 9.7 percent, following a 30-basis-point rise in 2011. As tenant demand continues to rise, asking rents are projected to increase by 1 percent to $21.01 per square foot by the end of 2012. Palm Beach County faces the challenge of still-decreasing single-family home prices, however, in addition to reluctant out-of-market home buyers — difficulties that the report said would slowly work out over the next few quarters. — Alexander Britell