The Fort Collins retail market is on firm ground, supported by a strong and diverse labor market that includes more than 20 Fortune 500 companies. Moreover, Fort Collins boast exceptional economic and demographic trends. Median incomes have increased at a rate twice the national average over the past five years. Net migration has propelled population growth to an average of just over 2% over the past five years, almost three times the national average.
Even as development has picked up, vacancies remain exceptionally tight (within about 100 basis points of all-time lows at the start of 2019) and rents are growing, albeit at a moderate pace.
The metro is not immune to the recent uptick in national store closings. At the Front Range Village shopping center, Sports Authority closed a 45,000 SF location in 2016, and Toys "R" Us closed a 65,000 SF location in 2018.
While Sports Authority and Toys "R" Us closed all of their stores nationally, retailers that are selectively closing locations would ostensibly be unlikely to first target a metro like Fort Collins, which boasts some of the strongest demographic momentum in the country.
With exceptionally demographic trends and rapid growth along the Northern Colorado I-25 corridor, Fort Collins has been one of the few metros in the country to see outsized retail development this cycle. Currently, the metro is home to the only mall-style development underway in the State of Colorado (various components of the Brands at the Ranch in Loveland).
(information provided from CoStar)