OFFICE VACANCIES CLIMBING IN AUSTIN
Here is a blurb about the office market that originally appeared in the Austin American-Statesman. This article accurately tells what is going on.
AUSTIN (Austin American-Statesman) - Vacancies are rising in the Austin
office market and are expected to continue ticking up amid a glut of new
space and heightened caution among tenants who are wary of the national and
local economies, experts say.
Citywide vacancy rates increased to 16 percent compared with 11.8 in the
first quarter 2007. Rents went up to $26.43 per sf, up from $23.28 a year
ago.
Class-A vacancy rates climbed to 15.9 percent, up from 9.4 percent last
year. Rents rose to $29.90, up from $26.19 a year ago.
Of the 651,791 sf of newly built, available space in the first quarter, only
a little over 100,000 sf is leased.
Charlie Hill, a senior vice president with Oxford Commercial, expects
vacancies to slowly continue to rise as more than 2 million sf of new office
space gets added this year amid slower leasing activity.
chadjewell @ April 7, 2008