Georgetown Retail Report 2022

Georgetown is one of D.C.’s most iconic neighborhoods, boasting a strong amenity base of world-class dining, shopping, and entertaining options, as well as unparalleled views of the Potomac River. The historic character and diverse retail mix in the neighborhood attracts tourists and locals alike. Historically, retail tenants favor Georgetown for its reputation as a boutique shopping destination, high pedestrian volume, and concentration of high-income tourists and residents.

Despite its prestigious history, Georgetown suffered leasing setbacks and vacancy increases during the COVID-19 pandemic, similar to other retail-centric submarkets across the country. However, market fundamentals have been recovering since the beginning of 2022, as retailers are once again realizing the potential that Georgetown has historically fulfilled. During the height of the pandemic, retailers shuttered their doors as widespread lockdowns took effect, causing vacancy in Georgetown to reach 20%. Today, vacancy is down to 9% and a limited number of spaces remain available in the submarket. Landlords are fielding high volumes of bids on available properties and asking rates are reaching $175 per sq. ft., in line with pre-pandemic levels.