Tag Archives: Phx-East Valley

Phx-East Valley Office Vacancy Rate and Lease Rates are Lower than Phoenix-area Overall.

With vacancy rates lower, how long do you expect lease rates to remain lower?

In addition to the Phx-East Valley’s office vacancy rate being lower than the Phoenix area n gilbert low rise office buildingoverall, the Phx-East Valley is experiencing it’s share of growth in the office market.

According the Mid Year Office Market report released by CoStar, the office vacancy rate decreased to 19.4% in the second quarter in the Phoenix area overall. With asking office lease rates increasing to $20.05 sf in the second quarter from $19.45 in the first quarter of 2013 on average.

 

By comparison the office vacancy rate in the Phx-East Valley area was 17.2% with a vacancy rate of 13.7% for class A office buildings, 18.7% for class B office buildings and 13.6% for class C office buildings.

 

Office lease rates in the Phx-East Valley were similar to the asking office lease rates in the Phoenix area overall at $19.08 sf with an asking lease rate of $23.46 sf for class A office buildings, $19.18 sf for class B office buildings and $14.66 for class C office buildings on average.

 

It should be noted that 2 of the 3 largest lease signings in 2013 in the Phoenix area office market have been in the Phx-East Valley.

 

The total office market in the Phoenix area saw a net absorption or 183,607 in the second quarter of 2013, 92,408 of which was in the Phx-East Valley.

 

Office buildings under construction at the end of the second quarter of 2013, were 68,867 RBA, 0% of which is preleased, all in the Phx-East Valley.

Let me know how I can help you with your commercial property needs.









 

This information is for informational purpose and not intended to be investment advice, and should be explained to you in detail. You should always feel free to consult an attorney and/or tax adviser to obtain further information you deem necessary. I want you to be prepared.

 

Industrial Lease Rates Increase in Phx-East Valley and Greater Phoenix-area Overall.

While the Phx-East Valley’s Industrial property vacancy rate is higher than the Phoenix industrial buildings mesaarea overall, asking rental rates for industrial properties have increased in the Phoenix area overall, including the Phx-East Valley.

Despite the higher rental rates and higher vacancy rate in the Phx-East Valley than the Phoenix area at large, the Phx-East Valley is experiencing it’s share of growth in the industrial market.

The vacancy rate went from 11.9% in the previous quarter to 12.4% in the second quarter in the Phoenix area overall, 11.5% vacancy rate for warehouse space and 19.7% vacancy for Flex. The asking rental rates increased to $6.40 on average, with the warehouse rate at $5.52 and Flex rate at $11.34.

By comparison the vacancy rate of industrial property in the Phx-East Valley area for the second quarter of 2013 was 12.8%, 11.7% vacancy rate for warehouse property and 18.6% for Flex in the Phx-East Valley. The asking rental rates in the second quarter of 2013 were $7.52 on average, $6.46 for warehouse and $11.46 for Flex property in the Phx-East Valley.

The industrial market in the Phoenix area saw a net absorption of 471,635 in the second quarter of 2013 (372,306 of which was in the Phx-East Valley), compared to a positive absorption of 1,395,312 in the first quarter of 2013.

The Phx-East Valley also leads the entire Phoenix area in terms of industrial under construction RBA, with 1,641,234 RBA, 87.3% of which is pre leased.

 









This information is for informational purpose and not intended to be investment advice, and should be explained to you in detail. You should always feel free to consult an attorney and/or tax adviser to obtain further information you deem necessary. I want you to be prepared.

 

Phx-East Valley Retail Vacancy Rate Higher than Greater Phoenix-area Overall.

While the Phx-East Valley’s retail vacancy rate is higher than the Phoenix area overall, thegilbert arizona water tower Phx-East Valley is experiencing it’s share of growth in the retail market.

The vacancy rate went from 11.1% in the previous quarter to 10.8% in the second quarter in the Phoenix area overall. With asking rental rates dropping to $14.23 on average.

 

By comparison the vacancy rate in the Phx-East Valley area decreased to 12.8% from 13.4% the previous quarter, with asking rental rates dropping to $13.37 on average.

 

It should be noted that 2 of the 3 largest lease signings in 2013 in the Phoenix area retail market have been in the Phx-East Valley.

 

The total retail market in the Phoenix area saw a net absorption or 1,032,400 in the second quarter of 2013, 434,000 of which was in the Phx-East Valley.

 

The Phx-East Valley leads the entire Phoenix area in terms of retail under construction, with 709,390 GLA, 98.8% of which is preleased.

Let me know how I can help you with your retail property needs!









 

This information is for informational purpose and not intended to be investment advice, and should be explained to you in detail. You should always feel free to consult an attorney and/or tax adviser to obtain further information you deem necessary. I want you to be prepared.