Featured Listing (see below): 90 Asheland Avenue in Asheville
Commercial Real Estate Insights
The last year of the Asheville MSA business scene has been characterized almost entirely by responses to the devastation caused by Hurricane Helene on September 27, 2024. As we have been reporting, everything from water access to transportation infrastructure to dips in tourism have worked against the success of local businesses—particularly our local restaurants, which operate on slim margins at the best of times.
While business has rebounded remarkably since Helene, many local businesses continue to struggle, and other outside factors continue to work against them. It remains to be seen whether this fall’s tourism numbers will make up for last year’s very slow Q4. Tariffs (and tariff uncertainty) have taken a toll on local businesses. And this year’s holiday sales growth is predicted to be more muted than last year’s (5.3%, versus 8.7% in 2024).
But there have been a lot of highlights, as well! We’ve seen beloved businesses rebuild from the ground up, as has been the case with Asheville Tea Company. We’ve seen surviving downtown Asheville businesses get creative to boost sales in the face of lower foot traffic. And we’ve seen a variety of new businesses take root amidst the muck of continued hurricane cleanup. Among them, Asheville Forager opened on Wall Street downtown to offer groceries and fresh deli items. Shady Grove Coffee Co. opened up inside the Antique Tobacco Barn on Swannanoa River Road. And Swannanoa town locals were excited to see Zella’s Deli return recently in a new location next to Play It Again Sports on Tunnel Road.
Local businesses also continue to garner national attention. In July, Asheville was ranked among the best U.S. towns to visit this year by CNN, coming in at the number 3 spot.
Inc. recently released its annual Inc. 5000 list, which ranks companies based on percentage revenue growth over the last three years. A full dozen of the nation’s fastest growing companies are based in Western North Carolina, including one in the top 250. Benton Roofing, Sauna House, and Honest Digital are among those featured. Mills River-based RYSE Construction can credit the Asheville Regional Airport’s new north concourse and Buncombe County government buildings in boosting them to the #652 spot. And Utility Solutions Group, only six years old, saw an astronomical 1,579% growth in business and 2,050% growth in employees this year, elevating them to #248 on the list.
Large retail also continues to grow in the area. We were heartened to hear that Ingles plans to rebuild its Swannanoa location, which was flooded by the Swannanoa River during Helene. Asheville Citizen-Times reports, “The new Ingles will be 95,391 square feet, a 45% increase in size from the previous location’s 65,542 square feet.” Asheville is also seeing a new Publix grocery store coming to New Leicester Highway, and plans are underway for a Costco within Enka Commerce Park.
Overall, we remain cautiously optimistic as we move into the holiday season. Our local business community has proven its strength and mettle. We expect the Asheville MSA commercial market to remain a strong investment in the coming months.
Q3 2025 Commercial Sales Activity Review:
- 9 Industrial Transactions for $36.3 million
- 18 Office Transactions for $20 million
- 30 Retail Transactions for $83.1 million
- 8 Multi-family Transactions for $15.5 million
- 11 Land Transactions for $14.9 million
Q3 2025 Commercial Lease Activity Review:
- 12 Industrial Lease Transactions, Vacancy Rate of 3%
- 43 Office Lease Transactions, Vacancy Rate of 2%
- 31 Retail Lease Transactions, Vacancy Rate of 1.7%
All information represents 2025 data as provided by CoStar for the region.
About the Featured Listing
90 Asheland Avenue in Asheville
MLS#: 4290984 | 15,106 SF | $3,776,500
Listed by: Jim Davis & Karl Nelson, CCIM
An exceptional opportunity to own a high-quality, free-standing medical office in Downtown Asheville. This 15,106 SF, two-level building on just over one acre offers ground-level access and parking on both floors. Recently remodeled with a new roof (2025) and updated systems, it provides flexible layouts for medical or professional use. Connected to the heart of the South Slope district and near the new Ironwood parking garage, this property presents an ideal opportunity for an owner-user or investor seeking a fresh lease-up in one of the city’s fastest-growing districts.
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