Commercial Market Study Report

Creating successful and dynamic places requires a solid understanding of economic conditions and opportunities. In 2022, the Town engaged Kimley-Horn, a planning and design consultant, to prepare a comprehensive commercial real estate market study.

Overview and Purpose

The Commercial Market Study Report provides a market assessment of development trends, economic development conditions, demographics, and growth opportunities in the Town of Fuquay-Varina.

The Town will use this data to support economic development and planning strategies.

Study Methods

Kimley-Horn used a phased process for the analysis, starting by assessing the community’s demographics, economic development, and real estate. That information was used to estimate future market potential and to identify short and long-term development opportunities.

The Commercial Market Study Report:

  • outlines community characteristics,
  • estimates market potential, and
  • identifies development opportunities.

The study assessed and defined the following areas:

  • Fuquay-Varina + extra-territorial jurisdiction (ETJ) (referred to as the Fuquay-Varina Planning Area)
  • Raleigh-Durham-Chapel Hill combined statistical area (CSA)
  • Wake County
  • Custom-defined Trade Area (25-minute drive from the center of town)

Report Summary

View the key takeaways below, or download the full report here.

Community Characteristics

Household earnings in the Planning Area demonstrate a slight premium over the surrounding region. Educational achievement and labor force participation are also strong metrics for the Planning Area.

Community Characteristics

Fuquay-Varina has a favorable location in the Triangle region, which has experienced one of the strongest recoveries from the COVID-19 pandemic in the country. Job growth in the region has positively impacted Fuquay-Varina, which has also experienced job growth in recent years.

Development Pipeline

As one of the fastest-growing communities in the Triangle region, there is a large volume of for-sale units under construction in Fuquay-Varina to keep up with the expanding population.

Residential units under construction

Residential units proposed

2,864 for-sale residential units and 264 rental units under construction
2,772 for-sale residential units and 778 rental units proposed

Based on the inventory of under construction and proposed residential projects presented in this section, there could be a total of 8,885 new residential units completed in the Planning Area over the next ten years.

Demand and Opportunity

The study identifies commercial real estate demand and development opportunities.

Commercial Real Estate Demand (2022-2032)

Known trade area pipeline 1,050,000 square feet115,000 square feet0 rooms
Net planning area demand151,000 square feet193,500 square feet94 rooms
Total 10-year demand1,201,000 square feet308,500 square feet94 rooms

Retail Demand

The study predicts 10-year spending potential for the Trade Area at over $494 million, equating to net square footage demand of over 1.5 million in the Trade Area through 2032.

Bar graph showing retail construction by decade

The business categories with the highest square footage demand over the next ten years include:    

Grocery stores, dining, household items, and automotive care

Office demand

The Planning Area is forecasted to add more than 5,400 jobs over the next ten years, resulting in a 36.5% increase over the current job base.

Bar graph showing office construction by decade

The Planning Area is forecasted to add approximately 1,600 new office-occupying jobs between 2022 and 2032. At an average space per employee of 200 square feet, this equates to a demand of more than 361,000 square feet of new office space.

Hotel demand

Based on a 3.0% estimate for the number of rooms per hotel-generating job added, there is demand for approximately 94 net new hotel rooms in the Planning Area through 2032.