Posts Tagged ‘Recession’

Sacramento office space market favours tenants

Friday, October 16th, 2009

In Sacramento, office space is becoming still more affordable for commercial tenants.

Sacramento Tenant Advisors’ Reid Boggiano said that companies in search of class B or C office space will be able to afford places that would have been out of the question during the economic boom.

As vacancy rates rise and companies consolidate offices, landlords have been forced to drop their prices.

Recession has wiped out noughties office space boom, expert says

Wednesday, October 7th, 2009

Victor Calanog, director of research at Reis Inc., has claimed that the recession has reversed commercial property market growth considerably.

Calanog said: “In seven quarters, the current recession has almost undone all additions to occupied space that occurred during the years when office rents peaked.”

Calanog also said that the decline in rents accelerated most quickly after the fall of Lehman Brothers.

Nashville redundancies affect commercial property market

Wednesday, September 23rd, 2009

A report by Foresight Analytics LLC reveals that Nashville is the fifth worst-affected US area in terms of job losses.

This year, 1.6 million office jobs have been lost in the US, and this, the report states, has had a knock-on effect on the office space market.

With less office jobs, firms looking to save money have consolidated offices or closed commercial properties altogether.

PwC: US commercial property market to slump until 2012

Wednesday, September 23rd, 2009

A new survey by financial firm PricewaterhouseCoopers has stated that the US commercial property market will not recover before 2012.

The PwC Kopacz Real Estate Investor Survey said that office rents in New York and San Francisco could fall further next year.

The report warned that downtown office rents may fall by 10%, with suburban office rents falling potentially by as much as 20%.

Maguire may default payment on office space campus

Tuesday, June 16th, 2009

Maguire Properties may be forced to default payment on its 566,000 square foot Californian office space campus.

The default is due in part to the loss of its major tenant, Washington Mutual Bank.

Separately, the company has sold its 531,000 square foot Michelson Drive office tower to a New York City buyer.

Fox Interactive Media abandons new office space plan

Monday, June 8th, 2009

Fox Interactive Media, owner of MySpace, has abandoned plans to occupy almost 420,000 square feet of office space.

Fox claims that it can no longer afford the $350 million lease due to financial difficulties.

The company has already planned to make redundant some of the staff who would have occupied the new offices.

Southern Nevada rents fall

Wednesday, June 3rd, 2009

In the first quarter, office space rent in Southern Nevada dropped by 10%.

The statistics, from Restrepo Consulting Group, also state that office vacancy reached 20% in the same period.

Restrepo claimst that these statistics are caused by high unemployment, the recession, and overbuilding.