CBRE: Austin industrial market continues robust growth

​​AUSTIN - Fourth quarter 2015 presented more expansion and growth for the Austin industrial market with both citywide average rents and construction actvitiy moving upwards quarter over quarter.​

Average asking rents across development types increased by $0.04 per sf quarter over quarter, for a year-end total of $0.80.

This citywide average of $0.80 per sf is a $0.10 increase year over year, which marks the highest citywide average recorded for Austin’s industrial market.

There was continued growth in absorption, which closed 4Q 2015 with 414,337 sf of positive absorption, bringing 2015’s annual total to 1,182,965 sf of positive absorption.

The run of consecutive quarters of positive absorption continued in 4Q 2015, marking six straight quarters of positive absorption.

This current streak is the longest stretch of positive absorption since the first quarter of 2004 through 2008’s first quarter, a span of 17 straight quarters.​

With the total of positive absorption, and a better than recent years product delivery, Austin’s citywide vacancy held at 8.0 percent quarter over quarter.

The last time vacancy was in this range, the net rentable area was more than 50 percent smaller than the market is currently.​