The Costs of Managing an Open Shopping Center
Real estate managers need to excel at budgeting and forecasting to maintain a property’s value. Taking on this dynamic challenge requires knowledge – knowledge of property trends and performance.
IREM performs ongoing analysis of several property types, including shopping centers, to help property managers with the important job of benchmarking the properties they manage against comparable properties. This year’s analysis of shopping centers reveals trends in expenses and occupancy rates that can help you achieve property performance goals and objectives. Here are the national highlights:
Sample Size
- 308 open shopping centers
Average Size of Center Gross Leasable Area (GLA) per Square Foot
Median Income in Dollars per Square Foot of GLA
- $13.68, up $.09 from 2017
Median Income in Dollars per Square Foot of Average Actual Occupancy
- $15.67, down $.34 from 2017
Occupancy Levels
- 93% occupied, down 1% from 2017
Median Expenses
- $4.23, down $0.04 from 2017
- Insurance and taxes still represent the largest expense component, at 41.8% of total expenses.
Occupancy Levels
- Nationally, occupancy rates declined by 1% in 2018 over 2017, to 93% occupied.
To see the breakdown of these results, regionally, and by property age and other factors, visit 2019 Income/Expense Analysis Reports.