Retailers spend a lot of time and money deciding where to open stores. They study population growth, consumer spending, traffic counts, competition and, in many cases, how their existing stores are already performing nearby. Judging by the number of projects coming to Tyler, the market continues to get their attention.
According to CoStar:
- Tyler has approximately 14.4 million square feet of retail space with a vacancy rate of about 4.9%
- Average asking rents are approximately $17.80 per square foot, up about 2% over the past year Put another way, about 95% of the city’s retail space is occupied
There are certainly individual centers and locations that perform better than others, but overall, there is not a lot of vacant retail inventory sitting around Tyler.
At the same time, the customer base continues to grow:
- The U.S. Census Bureau estimates Tyler’s population reached 113,723 in 2025, an increase of approximately 7.4% from the 2020 estimate base
- Smith County grew to an estimated 252,549 residents, up roughly 8.2%
But Tyler has always punched above its population when it comes to retail. The city draws shoppers from communities throughout East Texas for healthcare, employment, college, restaurants and entertainment. Someone looking only at Tyler’s city limits misses a big part of the market.
The sales numbers help show that. During the first quarter of 2026, the Texas Comptroller reported approximately $1.3 billion in retail-trade gross sales across the Tyler metropolitan area, about 2.5% higher than the same period last year. More interesting to most people, though, is what is actually being built.
BJ’s Wholesale Club recently announced plans for an approximately 106,000-square-foot store on South Broadway. It will be a completely new retailer for Tyler and is expected to create between 100 and 150 jobs. On the west side of town, Brookshire Grocery Co. has broken ground on a 58,467-square-foot store and fuel station along Earl Campbell Parkway. The roughly $17 million project is expected to include a full-service Stanley’s Famous Pit Bar-B-Q, Starbucks and several other expanded offerings.
Academy Sports + Outdoors is also planning its second Tyler store near Southwest Loop 323 and Earl Campbell Parkway. State filings show a roughly 55,000-square-foot project with an estimated construction cost of approximately $6 million. Those three projects alone account for nearly 220,000 square feet of new retail development.
There are smaller examples too. Chipotle is adding a third Tyler restaurant near Robertson Road and Southwest Loop 323, while Lululemon is moving from its temporary location into a permanent storefront at Broadway Square.
Tyler does not need to be Dallas to have a strong retail market. Its strength is its role as the shopping and commercial center for a much larger part of East Texas. And judging by the stores still looking for locations here, retailers seem to understand that too.
Originally published in the Tyler Morning Telegraph.
