La Plata retail sector hit by closures as rents and costs surge

A small store in La Plata, "Lo de Gaby Compra y Venta," shut its doors after only seven months of operation, launching a 50% liquidation sale. Owner Gabriel Raitelli cited a rent increase to 1.2 million Argentine pesos per month, higher taxes, utilities and stagnant sales as the reason for the closure.

The shutdown reflects a broader crisis in La Plata's commerce. Official data show at least 1,000 shops have closed, with one to three shutters dropping each day. Retail sales fell 9.1% year‑on‑year in the first quarter of 2026, and only 17% of merchants reported higher sales than the previous year. Vacant commercial space rose 180% YoY and now exceeds 9% of the market. Rising operating costs—gas up 5.6%, private services 3.5‑4.5%, and fuel nearly 20% in two months—have squeezed profit margins, while employment in the sector dropped 5% YoY during the same period.