|Houston's office construction spigot turning off||Houston's office construction spigot turning off||https://www.recenter.tamu.edu/news/newstalk-texas/?Item=11683||2016-01-12T06:00:00Z|
HOUSTON - It may not feel like it with so many tower cranes in the air, but office building construction in the Houston area has fallen off considerably.
In 2017 and 2018, fewer than 1.6 million sf of new office space will be completed, reflecting the lightest years since the recession, a recent report shows.
With vacancies rising, the likelihood of new projects breaking ground this year is slim.
"As M&A activity and right-sizing by companies contribute to a dramatic slowdown in leasing, a secondary (and welcome) result is the abrupt halt of new construction starts within Houston," JLL wrote in the 4Q 2015 report.
This time last year, 20 percent of all the office buildings under construction nationwide were in Houston. Today it's roughly half.
Here's the company's latest quarterly data on the local office market:
- Vacancy: 16.5 percent, up from 12.8 percent
- Average rent: $29.80, down from $30.62
- Space under construction: 6.3 million sf
|Houston Chronicle||Houston-The Woodlands-Sugar Land||Office|| http://www.chron.com/business/real-estate/article/Office-development-slowing-to-a-trickle-6736333.php|
See the full JLL Office Insight and Statistics Report for more data on Houston's office market.