BELLINGHAM, WA (MyBellinghamNow.com) – Bellingham’s retail vacancy rate rose in the third quarter of 2025.

According to Pacific Continental Realty co-owner Ryan Martin, the retail vacancy rate increased 0.8% to 5.3%.

The increase is largely due to major closures in Sunset Square and Bellis Fair.

Sunset dealt with the loss of JoAnn Fabrics, Rite Aid and Right at Home, while Bellis Fair lost Forever 21 and several smaller retailers.

But even with the increase in vacancies, the average asking price for leasing increased 76 cents to $20.48 per square foot.

Meanwhile, the industrial sector stayed strong.

Industrial vacancies in Bellingham dropped slightly from 2.2 percent to 2.1 percent in the third quarter, continuing a steady trend in that sector.