Jacksonville, FL Retail Market Report Q3 2026

Jacksonville retail pipeline shrank to just 0.7% of inventory in Q3 2026 while asking rent reached a record $26.81/SF, up 3.6% year over year. Vacancy is 4.9%, 36 basis points looser than a year ago, as the metro absorbed 242,000 square feet (SF) in Q3 versus 254K SF in Q3 2025. Pricing hit a record $246/SF, though the average cap rate has risen for 16 straight quarters to 6.99%. This Matthews™ Jacksonville, FL Retail Market Report Q3 2026 covers demand, supply, pricing, and investment sales across 12 submarkets so owners, investors, and retailers can see where Jacksonville retail real estate is tightest.

Key Findings

• Vacancy is 4.9%, with West/Outer Jacksonville the tightest submarket at 1.3% and Arlington the loosest at 10.2%.
• Asking rent of $26.81/SF is a record, and Orange Park/Clay County and Riverside/Urban Core lead rent growth at +3.9% each.
• Q3 absorption was 242K SF versus 254K SF a year earlier, and trailing-12-month absorption of 247K SF is down from 407K SF.
• New supply is thin: Q3 deliveries were 185K SF, trailing-12-month deliveries of 671K SF are down 30%, and the pipeline is 0.7% of inventory.
• Investors recorded $0.8B in Jacksonville retail sales over the trailing 12 months (-14%), with pricing at a record $246/SF.

Jacksonville Retail Supply & Demand Dynamics

How strong is retail demand in Jacksonville?

Jacksonville absorbed 242K SF in Q3 2026, compared with 254K SF in the same quarter last year. Trailing-12-month absorption of 247K SF is down from 407K SF a year earlier. Vacancy of 4.9% is 127 basis points above the Q3 2022 low of 3.7%, and asking rent has risen 3.6% year over year to $26.81/SF.

How much new retail space is being built in Jacksonville?

Jacksonville delivered 185K SF in Q3 and 671K SF over the trailing 12 months, down 30% from the prior 12-month period. Space under construction equals 0.7% of inventory and is concentrated in St Johns County, where it represents 2.6% of existing stock. Annual deliveries peaked at 3.90M SF in 2006. The 763K SF pipeline equals about twelve and a half quarters of absorption at the trailing pace, so limited new supply continues to support rents.

Jacksonville Retail Investment Market

What are Jacksonville retail cap rates and pricing?

Jacksonville retail cap rates average 6.99%, up for 16 straight quarters and 41 basis points above the Q3 2022 low of 6.58%. Pricing sits at a record $246/SF, higher for 16 consecutive years. Sales volume reached $0.8B over the trailing 12 months, down 14% from the prior period, with $202M closing in Q3. Owners planning a sale should underwrite to today’s cap rate while per-SF pricing remains at a record.

Jacksonville Retail Submarket Highlights

Vacancy is lowest in West/Outer Jacksonville (1.3%), St Johns County (1.7%), Beaches (3.5%), and Orange Park/Clay County (3.5%). It is highest in Arlington (10.2%), Northwest Jacksonville (7.2%), and Downtown/Urban Core (6.5%). Rent growth is led by Orange Park/Clay County and Riverside/Urban Core (+3.9% each), followed by Downtown/Urban Core and Southside/Baymeadows (+3.7% each). Every submarket posted rent growth of at least 2.7%.

Jacksonville Retail Market by the Numbers

• Vacancy: 4.9%
• Average asking rent: $26.81/SF (+3.6% year over year)
• Q3 2026 net absorption: 242K SF
• Trailing-12-month deliveries: 671K SF
• Under construction: 0.7% of inventory (763K SF)
• Trailing-12-month sales volume: $0.8B (-14%)
• Average cap rate: 6.99%
• Price per SF: $246

Jacksonville Retail Market FAQs

What is the Jacksonville retail vacancy rate in Q3 2026?

The Jacksonville retail vacancy rate is 4.9% in Q3 2026, up 36 basis points from Q3 2025.

What is the average retail rent in Jacksonville?

Average asking rent in Jacksonville is $26.81/SF in Q3 2026, a record and 3.6% higher than a year ago.

Which Jacksonville submarket has the lowest retail vacancy?

West/Outer Jacksonville has the lowest retail vacancy at 1.3%, followed by St Johns County at 1.7%.

What is the average retail cap rate in Jacksonville?

The average Jacksonville retail cap rate is 6.99% in Q3 2026, up for 16 consecutive quarters.

Previous Jacksonville Retail Market Reports

Compare this quarter with the prior one: read the Jacksonville, FL Retail Market Report Q1 2026.

The bottom line for owners: record rents and a pipeline of only 0.7% of inventory favor landlords of well-located retail, while cap rates that have expanded for 16 quarters mean sellers should price to current yields. Download the full report above for submarket charts and detail, or contact Maxx Bauman, Managing Director in Jacksonville, to discuss your property.

Sources: Matthews™ Research, CoStar Group, Inc., RCA, and BLS. Information is for reference only. Sources deemed reliable but not verified.