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Downtown Office Vacancy Rates - News & Updates

Home Forums General Columbus Discussion Downtown Office Vacancy Rates – News & Updates

Viewing 15 posts - 16 through 30 (of 65 total)
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  • #391836
    Walker Evans
    Walker Evans
    Keymaster

    Well, percentages only tell half the story. Total volume could be more revealing. I imagine it could vary quite a bit from suburb to suburb.

    #391837

    buckeye54
    Participant

    Anybody have access to more recent numbers? It would be interesting to see what changes have occurred in the past 2 years and if the suburbs followed downtown’s increase in occupancy or if downtowns increase in occupancy was directly related to a decrease in occupancy from the burbs.

    #391838

    News
    Participant

    Office-vacancy dip too little to spur building
    By Steve Wartenberg
    The Columbus Dispatch
    Sunday April 29, 2012 9:24 AM

    The amount of empty office space in central Ohio has slowly been dropping, but it has yet to reach the levels needed to attract new construction, according to local experts. The vacancy rate for Columbus office space was 16.3 percent at the end of the March.

    The improved vacancy rate locally has been spurred by the Downtown area, which saw the absorption — or leasing — of 64,000 square feet of previously vacant office space during the first quarter, according to Xceligent.

    “I can’t remember the last time the central business district led the way, and now it has done it two quarters in a row, which indicates a trend,” Simpson said, adding that the Easton and Polaris areas are traditionally the area’s strongest.

    READ MORE: http://www.dispatch.com/content/stories/business/2012/04/29/office-vacancy-dip-too-little-to-spur-building.html

    #391839
    Walker Evans
    Walker Evans
    Keymaster

    Quick update:

    A Dispatch article today mentions that the regional office vacancy rate was 18.7 percent at the end of 2012, with Downtown office vacancy rates just slightly better at 17.9 percent.

    #391840

    InnerCore
    Participant

    Here are the office vacancy rates by submarket which give a more detailed picture of the market:

    Vacancy in the North Central submarket, which is one of the lowest in the metro
    at 11.3 percent, will likely increase when NetJets vacates 130,000 square feet of office space in the Easton area. Vacancy in the submarket could rise above 17 percent due to the relocation.

    Improvements to the Route 161 expressway, as well as property tax breaks in New
    Albany, are generating activity in the New Albany Business Park in the Westerville
    submarket. More than 2,000 jobs are expected to be located in the park by the end
    of the next year, including 350 positions when Bob Evans Farms Inc. relocates its
    corporate headquarters from the Southeast submarket to the area.

    Vacancy in the Dublin/Hilliard submarket, which is the third lowest in the metro
    at 16.7 percent, will trend higher when Nationwide relocates nearly 1,000 employees
    from its Dublin facilities.

    #391841

    futureman
    Participant

    Found an interesting short article in Business First Columbus about downtown vacancy rates in highrises/midrises, see below. (Can’t find web link)

    http://i751.photobucket.com/albums/xx159/futureman0/cmhdowntown_zps0d698a21.jpg

    This is for year end 2012, the vacancy stood at 768,745 out of 5.4 million sf. This means a 14% vacancy rate (space available through landlord, no sublease). It also includes 10 mid rise buildings in the arena district not shown.

    It excludes the LeVeque Tower as well because it’s floor plans and other issue make it not in “competitive set” as the others.

    #391842
    Walker Evans
    Walker Evans
    Keymaster

    Nice! That’s a sweet infographic!

    #391843

    bucki12
    Member

    Odd that PNC Plaza is so far behind. It seems they have been cutting rates too.

    http://www.bizjournals.com/columbus/print-edition/2010/12/03/pnc-plaza-cuts-lease-rates-after.html?page=all

    Looks like they never recovered from this:

    (Accounting firm) Deloitte LLP moved to the Continental Plaza at 180 E. Broad St., leaving a 45,000-square-foot hole on five floors in the building.

    #391844

    News
    Participant

    Office Market Overview 1st Quarter

    Over the past year a new trend has emerged in Columbus’ office investment sales market. Several of the recent properties sold have been purchased by Canadian investors including two in the Busch Corporate Center, ten buildings from the AEW Capital portfolio located from Dublin to Westerville, and most recently Community Corporate Center in Worthington at the end of 2012. These transactions account for a total of approximately 1.3 million square feet and $59 million.

    READ MORE: http://blog.ohioequities.com/?p=2316

    #391845

    susank
    Member

    Canadian buyer pays $25M for area offices in 1st deal in U.S.

    “(AEW Capital) has redirected its investment strategy from secondary markets to primary markets,” Stecz said.
    The portfolio shows a vacancy rate of nearly 29 percent, and the Old Wilson Bridge property is vacant.
    “There’s high interest in value-added opportunities,” Stecz said of the buyer’s ability to lease the buildings at below-market rents

    http://www.bizjournals.com/columbus/print-edition/2012/11/09/canadian-buyer-pays-25m-for-office.html?page=all

    It looks like the AEW deal was largely financed by the original investment company as it looked to move up out of Columbus. The Columbus portfolio was underperforming.

    I have some relatives involved in this and the whole holding company thing has always intrigued me. I know that they are always trying to cluster their assets to minimize management and carrying costs.

    #391846

    News
    Participant

    CBRE snags property management contracts for Riffe, Rhodes towers after long wait
    Jun 17, 2013, 2:47pm EDT
    Brian R. Ball
    Staff reporter – Business First

    The CBRE Group Inc. commercial real estate firm has snatched the property management duties for the state-owned Riffe Center for Government and the Arts and the Rhodes State Office Tower downtown as part of a four-year, five-building contract with the Ohio Department of Administrative Services.

    READ MORE: http://www.bizjournals.com/columbus/news/2013/06/17/cbre-snags-property-management.html

    #391847

    News
    Participant

    Office Market Continues Its Persistent Improvement

    The Columbus office market continues to improve. For simple proof of this, try renewing a 2008 lease at the same terms today. It’s just not going to happen. Class A & B direct vacancy rates are down to nearly 14.5% as Columbus’ 30 million SF inventory continues to be absorbed with nearly 360,000 SF of positive absorption in the last 12 months.

    READ MORE: http://blog.ohioequities.com/?p=2528

    #391848

    heresthecasey
    Participant

    This will help fill at least some of that vacancy in PNC Plaza,

    OhioHealth pledging 100+ jobs downtown, pending city incentive…

    Columbus City Council will get its first look Monday at a Downtown Office Incentive to induce OhioHealth Group Ltd. to take 15,477 square feet in the PNC Plaza building at 155 E. Broad St.

    http://www.bizjournals.com/columbus/news/2013/12/06/ohiohealth-pledging-100-jobs.html

    #391849

    Graybeak
    Participant

    heresthecasey said:
    This will help fill at least some of that vacancy in PNC Plaza,

    OhioHealth pledging 100+ jobs downtown, pending city incentive…

    Columbus City Council will get its first look Monday at a Downtown Office Incentive to induce OhioHealth Group Ltd. to take 15,477 square feet in the PNC Plaza building at 155 E. Broad St.

    http://www.bizjournals.com/columbus/news/2013/12/06/ohiohealth-pledging-100-jobs.html

    Awesome. Now we will have to deal with the foot traffic between this new building, and the five floors of Ohio Health offices here at 180 E Broad.

    Maybe a diagonal skywalk?

    #391850

    columbusmike
    Participant

    Graybeak said:
    Awesome. Now we will have to deal with the foot traffic between this new building, and the five floors of Ohio Health offices here at 180 E Broad.

    Maybe a diagonal skywalk?

    I really doubt 100+ people will really make foot traffic that much worse…but I enjoy your snarky skywalk comment :)

Viewing 15 posts - 16 through 30 (of 65 total)

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