Rapid City boasts a vibrant and resilient economy propelled by a diverse array of industries. As per Oxford Economics, the city maintains an average annual unemployment rate of 1.9%, significantly lower than the 10-year average of 3.1% and the national average of 3.6%.
In the Rapid City retail market, the vacancy rate is at a low 2.1%, reflecting a 0.8% decrease over the past 12 months. During this period, the market saw absorption of 82,000 SF and the delivery of 11,000 SF. The General Retail subtype dominates with 6.4 million SF in this category. Rental rates are approximately $14.10/SF, marking a 2.2% increase from a year ago. Over the past three years, cumulative rent growth stands at 8.2%.
In terms of sales, there have been 64 transactions totaling approximately $70.4 million in the last three years. During this period, the market cap rate for Rapid City has slightly decreased to 7.9%, just below its trailing three-year average of 8.0%.
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Read More at: Retail Market Report for Rapid City, SD
Market data is provided by CoStar Analytics. Ferguson Appraisals, LLC is a licensed user of CoStar Analytics and has received permission to share the published report.