A Year of Change and Growth: Asheville MSA Year-End 2023 Commercial Market Report

101 Fair Oaks Road in Arden
Featured Listing (see below): 101 Fair Oaks Road, Arden

Commercial Real Estate Insights

As we wrap up 2023, we reflect on a year of dynamic change and growth in Asheville’s business landscape. We’ve seen the flourishing of new ventures, the closure of beloved establishments, and the continued evolution of our city’s real estate and development scene. In the River Arts District, the Radical Hotel made its grand debut in October, boasting thoughtfully designed rooms and three dining options.The city also welcomed a host of new watering holes, including Terra Nova Beer Co, Voodoo Brewing, and the Low Down. However, we also said goodbye to local favorites like Buxton Hall BBQ and Archetype Brewing’s South Slope location, both of which closed their doors this fall.  

The retail sector saw significant activity, with Tanger acquiring the Asheville Outlets in a $70M deal. The shopping center, which was 95% leased at the time of the transaction, will be rebranded as Tanger Outlets Asheville in early January 2024. Despite a 3.3% decline in brick-and-mortar retail stores in the Asheville metro area, the city’s retail industry remains vibrant, characterized by a strong presence of small businesses. In fact, a 2023 study revealed that Buncombe County ranked third for small business income and eighth for small business returns in North Carolina—proving that Asheville’s unique retail community, filled with eclectic small businesses, continues to thrive. 

The city has seen growth in taxable retail sales and a surge in demand for retail stores, with a mix of larger retail developments and a thriving small business community shaping the retail landscape. As we look ahead to 2024, we anticipate continued growth and evolution in Asheville’s business landscape. We remain committed to supporting the local businesses that make Asheville unique and look forward to seeing more success stories in the coming year.

Info from: WLOS News 13, AVLToday, Asheville Citizen-Times

Download a PDF of the report.

Q4 2023 Commercial Sales Activity Review:

  • 9 Industrial Transactions for $16.8 million
  • 18 Office Transactions for $13.1 million
  • 28 Retail Transactions for $105 million
  • 6 Multi-family Transactions for $33 million
  • 27 Land Transactions for $21.8 million

Q4 2023 Commercial Lease Activity Review:

  • 8 Industrial Lease Transactions, Vacancy Rate of 3.2%
  • 26 Office Lease Transactions, Vacancy Rate of 2.6%
  • 29 Retail Lease Transactions, Vacancy Rate of 1.6%

All information represents 2023 data as provided by CoStar for the region.

About the Featured Listing

101 Fair Oaks Road in Arden

MLS#: 4093039 | 2,600 SF | $3,700,000

Listed by: Karl Nelson

Don’t miss your chance to own this exquisite 26,364-square-foot light industrial property ideally located near major traffic routes. This facility boasts three-phase electrical service, approximately 2,600 square feet of office space with a luxurious reception area, and a vast 23,750-square-foot warehouse with ceiling heights ranging from 11.5–15.5 feet. Additional features include one dock high and three drive-in/roll-up doors, two overhead cranes, fully conditioned areas, five bathrooms, two breakrooms, 61 parking stalls, and a 16-camera security system. As an added bonus, there is an option to acquire a 1,250-square-foot, three-bedroom, 2.5-bathroom single-family home with a full basement for an additional $427,000.


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