Vacant Commercial Space Creates Opportunities for Small Businesses

Small businesses, including health practitioners and artists, are finding it easier to secure prime commercial space as shopping center vacancies rise. According to Cushman & Wakefield, the national vacancy rate in shopping centers increased to 5.8% in Q2 2025, leading to easing pressure on asking rents. Experts note that opportunities for small businesses vary by geography, with booming markets and high consumer migration offering the most opportunities.

Small businesses, including health practitioners and artists, are finding it easier to secure prime commercial space as shopping center vacancies rise. According to Cushman & Wakefield, the national vacancy rate in shopping centers increased to 5.8% in Q2 2025, leading to easing pressure on asking rents . This trend is providing small businesses with more opportunities to establish their presence in desirable locations.

Experts note that opportunities for small businesses vary by geography. Booming markets and high consumer migration offer the most promising spaces. For instance, cities with strong economic growth and increased foot traffic are seeing a higher demand for retail and office spaces, making it easier for small businesses to secure prime locations .

The rising vacancies are not limited to shopping centers. Office spaces, particularly in urban areas, are also seeing an increase in vacancies. This is due to a combination of factors including remote work trends, the shift towards flexible workspaces, and the economic slowdown that has led to businesses downsizing or relocating .

However, not all regions are benefiting equally from this trend. Areas with high consumer spending and strong economic growth are seeing the most significant drops in vacancy rates. For example, cities like London and New York, known for their high consumer spending and strong economic growth, have seen a decrease in vacancy rates due to increased demand for commercial spaces .

In addition to the increased availability of commercial spaces, small businesses are also benefiting from the easing pressure on asking rents. With more spaces available, landlords are more likely to offer competitive lease terms to attract tenants. This can lead to significant cost savings for small businesses, allowing them to invest more in their operations and growth .

Moreover, the rise in vacancies is not just limited to retail and office spaces. Industrial spaces, particularly warehouses and distribution centers, are also seeing an increase in vacancies. This is due to the shift towards e-commerce and the need for larger warehouses to accommodate the increased demand for online shopping .

In conclusion, the rise in commercial real estate vacancies is providing small businesses with more opportunities to secure prime commercial spaces. While the availability of spaces varies by geography, the easing pressure on asking rents is a significant benefit for small businesses. As the market continues to evolve, it will be important for small businesses to stay informed about the latest trends and opportunities to make the most of these changes.