Despite this stability, net absorption dropped sharply in the first quarter, falling to -168,104 square feet—more than four times the negative absorption seen in the previous three months. The majority of these losses were concentrated in Pasco County (-114,718 square feet) and along the I-75 Corridor (-61,951 square feet).

Also, vacancy increased by 30 basis points quarter-over-quarter and 50 basis points year-over-year. But it's not all bad news, as the category in Tampa remains below historical averages.

"Retail vacancy remains low at 4.7%, underscoring Tampa’s market stability despite national closures and evolving retail strategies," Colliers explained.

"Neighborhood centers remain among the tightest asset types, while power centers experienced uneven performance due to big-box transitions. Lifestyle and outlet centers reported stable vacancy, largely due to limited turnover."

The CRE firm added that leasing performance was strong, noting that "high-profile" move-ins such as H-Mart's 47,000 square feet and Pickleball Kingdom's 40,000 square feet, drove the activity.

The leasing helped drive up average direct asking rates by 19 cents per square foot NNN year-over-year to $29.47, although the figure was down from the fourth quarter's $29.71.