In January 2020, The Statesman noted that Austin had concluded the final quarter of 2019 riding high and the office market was looking at optimistic forecasts for 2020. The city had, indeed, been seeing one of the fastest metropolitan growths in the country. In 2020, Austin office space has attracted big-name relocations and footprint expansions, including Tesla Motors, Oracle, and Samsung.
In the final quarter of 2020, the Austin office market was still performing well above average, despite quite a challenging year. According to a recent study released by commercial real estate listings website CommercialSearch.com, two Austin office submarkets ranked among the 50 most expensive in the country, in Q4 2020.
Specifically, office properties in East Austin commanded the highest average office asking rents in Texas—the submarket ranked 40th nationwide, with full-service equivalent asking rents resting at an average of $60.60 per square foot at the close of last year. The second-priciest office space in Texas was found to be in Downtown Austin, where office asking rents averaged $58.81 per square foot per year, which landed the neighborhood 46th of 50 entries.
The snapshot report considered all U.S. office submarkets with at least 10 listings of office space for rent during Q4 2020, including only office properties equal to or larger than 25,000 square feet. According to the article methodology, the research team analyzed a total of 992 U.S. office markets, and focused on the top 50, by average asking rent.
Along with Austin, top 50 ranking entries included submarkets from Boston, Washington D.C., Miami, New York City, Los Angeles, San Francisco, and the Bay Area. In fact, California submarkets continued to dominate the ranks of top-dollar office space and accounted for 29 entries of the total.
New York locales from Manhattan and Brooklyn took the other part of the lion’s share, occupying 13 of the remaining 21 spots. For the full list and nationwide highlights, read the original article here.
Ioana Ginsac | CommercialEdge Listing Network |