Austin office notes 2012 upswing: Oxford

AUSTIN – The office market ended on a strong note in 2012, with occupancy and rent rates for Class A space continuing their upward trend, according to Oxford Commercial. The year was marked by brisk activity in office building sales, including 19 transactions pending at year’s end.

The occupancy rate for Class A space rose to its highest level since 2007, settling a smidge short of 87 percent, up from 82.5 percent at the end of 2011.

Rents for Class A space averaged $30.50 per sf, up 7.7 percent from $28.31 in late 2011.

During 2012, the market absorbed nearly 1.5 million sf of space — 50 percent more than in 2011, and the highest amount since 2000.

Both job and population growth is spurring the Austin office market to continue rebounding from its recessionary trough in 2009, when nearly one-quarter of its office space sat vacant.

Read more at the Austin American-Statesman.