finance
Des Moines Retail Trends: What Businesses Need to Know Right Now
Low overall vacancy and targeted store openings point to focused strategies for retailers weighing locations and operations in the metro area.
How we reported this
Des Moines retail vacancy rates remain low at 4.0 percent overall, with the Northeast submarket at 1.7 percent and the CBD at 2.3 percent, while the South submarket reaches 12.4 percent, according to CBRE data for the third quarter of 2025.
These figures matter now because retailers face high construction costs that have slowed new development across the metro, pushing companies to evaluate existing spaces and labor availability before committing to leases or expansions.
New openings include an H&M store of 25,000 square feet and a Fabletics location at Jordan Creek Town Center, along with Floor & Décor’s first Iowa store in a former Gordmans building at Westowne Shopping Center in West Des Moines. Toys R Us has returned inside Jordan Creek mall at the former Forever 21 site, and Burlington plus Painted Tree Boutiques have taken over former JoAnn Fabrics and Bed Bath & Beyond spaces in Clive and surrounding suburbs.
Suburban Expansion and Repurposing Patterns
Suburban retail growth continues in Waukee, Des Moines, Ankeny, Altoona, Norwalk, and Grimes. Valley West Mall in West Des Moines is under rezoning for a mixed-use project that will add residential, office, retail, and entertainment components.
Market observers note that integrated omnichannel approaches and the conversion of former office or underused retail space now drive activity more than ground-up construction. A shortage of qualified retail workers also shapes hiring and site decisions for operators entering or expanding in these corridors.
Practical Steps for Retailers
Companies evaluating Des Moines should review submarket vacancy differences when selecting sites, prioritize locations near recent openings such as Jordan Creek Town Center, and plan for omnichannel infrastructure plus worker recruitment programs. The CBRE report and local market summaries at rebusinessonline.com provide the latest occupancy and cost benchmarks to guide those choices.
This article is general information only and is not personal financial or investment advice. Consider your own circumstances and seek licensed professional advice before making financial decisions.