AUSTIN – The industrial market posted 539,820 sf of positive net absorption in fourth quarter 2018, bringing the year’s annual absorption over 1.2 million sf, according to Colliers International’s Austin Industrial Q42018 report.
Citywide average rental rates increased significantly over the quarter, moving up from $10.57 to $10.98 per sf. The average Flex/R&D rental rates increased to $13.56 from $13.55, and the average warehouse/distribution rental rate rose to $8.68 from $8.63 per sf.
Average vacancy rate increased from 6.9 to 7.2 percent over the quarter. The most significant increase in vacancy over the quarter occurred in the far northeast submarket where the vacancy rate jumped from 4.4 to 8.6 percent.
Eleven buildings were delivered and 14 began construction.
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