Austin Office, Retail, and Warehouse in 2019
OFFICE – Actual vacancy has been around 9% since 2015. For 2019 its forecasted at 9.4%. With natural vacancy at 13%, rents are expected to continue to rise, with a projected 2019 increase of 2%.
RETAIL – Actual vacancy is at 4% in Q4 2018 with natural vacancy at 6%. Vacancy is forecasted at 4.3% for the year. Rent growth is expected to slow averaging an increase of 1% in 2019.
WAREHOUSE – Actual vacancy was at 6% in Q4 2018, with natural vacancy at 11%. Rent growth is projected at 1.5% for the year.
*Natural vacancy is the average percentage of rental properties that are not occupied with tenants when there is balance in demand and supply.
Information courtesy of Texas A&M REAL ESTATE CENTER.
