REOC: Austin industrial market 1Q 2015
AUSTIN – Following the solid performance in fourth quarter 2014, Austin-area industrial lease properties recorded another positive quarter to start the year.
Strong investment activity speaks to investor confidence in Austin’s economic strength and long-term positive outlook.
According to the survey of more than 38 million sf of industrial lease space, new leases and expansions inked in the first three months of the year translated into 270,783 sf of positive net absorption.
Aware of the opportunity to provide new warehouse inventory to accommodate tenant expansion and attract new business to the area, developers are in the process of delivering new space to the market.
Looking ahead, there are roughly 1 million sf of projects in various stages moving through the development pipeline.
| Office/Bulk/ Manufacturing/Warehouse | Flex/R&D | |||||
| Sector | Existing SF | Current Vacancy | Under Const.* | Existing SF | Current Vacancy | Under Const.* |
| Round Rock | 2,498,932 | 11.9% | 240,000 | 663,446 | 3.5% | 55,000 |
| North | 10,205,343 | 9.3% | 0 | 5,001,854 | 5.3% | 0 |
| Northeast | 4,115,363 | 6.8% | 153,000 | 3,016,576 | 32.8% | 0 |
| East | 1,283,071 | 4.1% | 0 | 0 | 0.0% | 0 |
| Southeast | 4,896,894 | 5.2% | 404,805 | 4,259,656 | 14.0% | 232,000 |
| South | 1,945,884 | 1.0% | 0 | 131,848 | 0.0% | 0 |
| Total | 24,945,487 | 7.4% | 797,805 | 13,073,380 | 14.3% | 287,000 |
*Expected to deliver within six months
See REOC Austin’s full Industrial Market Report 1Q 2015, including previous quarters.
More data? See Austin Market Research
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