BELLINGHAM, Wash. (MyBellinghamNow.com) – Vacancies increased in downtown Bellingham over the summer, even as demand for retail space remained steady in other parts of the city.
This is according to a new third quarter commercial real estate report released by Ryan Martin, co-owner of Pacific Continental Realty. He said retail space availability in Bellingham decreased slightly from last quarter, reflecting a strong market for both buyers and retailers.
Businesses near Meridian had the highest demand for retail space, but Bellis Fair Mall held steady. However, the retail vacancy rate in downtown Bellingham remains at 8.4%, nearly three times the citywide average.
Martin said the transition of a prominent homeless shelter to a new facility likely had an impact on the number of vacancies downtown.
“The biggest impact is probably that the Lighthouse Mission is still downtown. I know they’ve opened a new mission,” Martin said. “It takes time for people to move and leave.”
Meanwhile, demand for office space rose across the city and while there were positive signs, downtown struggled, and the city even lowered its asking rates as part of a bid to attract tenants.
Martin said the Federal Reserve’s recent interest rate cuts should bode well for local real estate markets like Downtown going forward.
