First Quarter 2015 Industrial and Office Forecast Reports
Office Market Trends Report - 4th Qtr 2014
The 1st Quarter 2015 Office and Industrial Forecast Reports are available and ready for download.
- At first glance the office market looked like it was a flat quarter with vacancy holding steady at 20.5 percent. The encouraging aspect is how it overcame a very large amount of space that became vacant.
- After a banner year in 2014 the industrial market stumbled out of the gate as a handful of large available spaces vacated during the quarter. Vacancy increased slightly rising 20 basis points from the fourth quarter of 2014.
Office Market Trends Report - 3rd Quarter 2014
The market bounced back modestly refilling most of the vacated space from the third quarter. The majority of improvement was provided by the purchase of two vacant buildings by owner occupants. Sales activity accounted for two-thirds of the total space absorbed or 66,000 square feet of space. The balance was provided through occupancies of leased space in a handful of smaller deals.
Office Trends Report - 2nd Qtr 2014
Albuquerque Office Market Update
The 60 basis point jump in vacancy this quarter was a modest increase and within normal ranges. Unfortunately this increase brought the office vacancy into record territory and is at the highest level yet since the new millennium began. A majority of the increase is attributed to just over 90,000 square feet of space being vacated by two companies. Cardinal Health and Lovelace Health Plan both shuttered their operations as a result of a business unit transfer and an acquisition by another health plan.
4th Quarter 2013 - Office Trends Report
Albuquerque Office Real Estate Update
As expected vacancy spiked upward 250 basis points posting one of the biggest increases seen in over 15 years. This jump should be considered an outlier since it was driven primarily by a single-tenant vacating nearly 324,000 square feet of space in the Airport submarket. In the third quarter of 2011 Presbyterian Healthcare Services (PHS) purchased the former 110,000 square-foot Citicorp Office located in the North I-25 submarket and then expanded the building with a 193,000 square foot addition completed this year.
3rd Quarter 2013 - Office Market Trend Report
On the surface the trend in the office market appears to be positive. For the third consecutive quarter vacancy dropped registering a modest 30 basis point decline. The majority of this movement can be attributed to one large space becoming occupied. Blue Cross Blue Shield of New Mexico moved into 85,000 square-foot space in the North I-25 submarket and making the quarter. Without this big move vacancy would have actually have increased 30 basis points.
Vacancy declined again for a second consecutive quarter falling 60 basis points. The last time this occurred was over seven years ago. The decline’s primary driver was several large deals being made. Two of these were by health insurance companies gearing up for increased enrollments from the Affordable Care Act. Molina Healthcare expanded into almost 29,000 square feet of Class A space during the quarter.