REOC: San Antonio 1Q 2015 office
SAN ANTONIO – Demand for space resulted in a strong first quarter start for area office properties, in fact, one of the strongest on record.
Gross leasing activity translated into 371,200 sf of positive net absorption led by the delivery of the fully-leased 158,075-sf Potranco building.
Decreasing vacancy, increasing rental rates and strong absorption characterize San Antonio’s expanding market.
While new supply creates opportunity to attract new companies to the area and accommodate existing tenants’ needs to expand and upgrade, the added space could cause vacancy rates to spike later this year if more leases are not inked prior to completion.
| All Classes | Citywide | CBD | Non-CBD | |||
| 1Q 2014 | 1Q 2015 | 1Q 2014 | 1Q 2015 | 1Q 2014 | 1Q 2015 | |
| Inventory | 28,417,306 | 29,162,340 | 5,728,263 | 5,758,373 | 22,689,043 | 23,403,967 |
| Direct vacant | 5,222,040 | 5,093,070 | 1,596,113 | 1,510,685 | 3,625,927 | 3,582,385 |
| Vacant | 18.4% | 17.5% | 27.9% | 26.2% | 16.0% | 15.3% |
| Average rent | $19.77 | $20.07 | $19.86 | $19.76 | $19.76 | $20.11 |
| 1Q absorption | 335,672 | 371,200 | 120,222 | 41,968 | 215,450 | 329,232 |
| YTD absorption | 335,672 | 371,200 | 120,222 | 41,968 | 215,450 | 329,232 |
*Statistical information is calculated for multi-tenant office bldgs. 20,000 sf and larger (excluding single-tenant, owner-occupied, gov’t and medical buildings).
Source: REOC San Antonio
See the full Quarterly Office Report 1Q 2015, including previous quarters.
Don’t forget! Visit San Antonio-New Braunfels Market Research for more stats.
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