United States Retail Market Dynamics Q2 2026

Retail demand snapped back in the second quarter, with net absorption reaching 10.2 million square feet (the second-strongest quarter in two years) as malls and neighborhood centers returned to positive territory. Meanwhile, construction stays historically constrained outside a handful of Sun Belt metros, keeping vacancy low and landlords firmly in control. Our Q2 2026 Retail Market Dynamics report breaks down where rents are climbing fastest, why investors poured $33 billion into retail real estate in the first half of the year, and how shifting back-to-school budgets reveal a deepening focus on value.