Jul
07

Raleigh-Durham’s Office Vacancy Rate at 12.4%

By

Nationwide, employers remain frugal in reoccupying office space. But Raleigh’s office market is expanding at a reasonable pace, local real estate experts say.

Employers have only reoccupied about 52 percent of the 142 million square feet of office space that went vacant amid the recession, with occupancy in the second quarter growing by 2.8 million square feet, according to data from real estate data firm Reis Inc.

A Kiplinger letter published July 3 indicates the recovery in the office market industry varies sharply according to the region, and regions hit hardest by the housing slump, such as Phoenix, Detroit and Las Vegas, will continue to see sluggish growth in the office real estate market. On the other hand, cities in the South may have bright futures. The rise in office vacancies caused by the recession is ebbing, making it a bit easier to raise rents. Additionally, hiring for jobs in business and health care — jobs that necessitate office spaces — is also gaining steam, Kiplinger’s letter states.

Raleigh-Durham’s office vacancy rate was 12.4 percent for the first quarter, down from 13.4 percent a year earlier.

READ MORE HERE

Categories : Durham, Raleigh

Comments are closed.