Occupancy Rates Decrease For Office Space Nationally
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If you are looking to expand your business and need space, this is a great time to start negotiating with your landlord. With occupancy rates declining and rents remaining neutral in the 3rd quarter, landlords are getting nervous.
Add to that the tremors of a recession in the horizon and all the trouble on Wall Street, it is a great time to get in and renegotiate your lease. And if you are an out of the box thinker when it comes to office space, check out this post by Tim Ferris on a company that has redesigned their work environment. They have seen some amazing cost savings and productivity enhancements.
Rent stagnation and increasing vacancies put “strain on borrowers to make payments on mortgages,” said Sam Chandan, Reis’s chief economist. “It hasn’t shown up yet in terms of delinquency rates, but this is clearly an issue we need to be very attentive to,” he said. Almost every type of financial institution, from community banks to Wall Street, lends to office-building owners.
The office market in suburban areas and smaller cities has been declining throughout the year. But now, with a recession looking inevitable, the pain is spreading to most large metropolitan areas. Previously immune cities such as San Francisco and Boston saw vacancy-rate increases in the third quarter. San Francisco’s vacancy rate rose 0.6 percentage point to 9.9% in the quarter. Boston’s rate rose 0.8 percentage point to 11.7%. via WSJ.com
It probably is a really good time to buy real estate - monthly payments are about equal to market rents ...
The part about the inventory is right on but in my area they are mostly low end and beat up ...
I worked for this man, he is a great con man and has done this in more than States then ...
You're right. If you come from Central Jersey (as the Boss and I do), you go to Florida at some ...
Maybe it was kryptonite...
ECONOMIC REPORT
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By Mike ...
I couldn't agree more.
The newspaper has always "stuck" it to the real estate agent with rates that were much higher ...
By the way, homeowners trying to get short sale approval should be aware that lenders are comparing the initial loan ...
Ouch! Thankfully I haven't come across anything like that yet. We normally don't have situations like that in ...
well, the guy was here illegally.
serves him right. 
BY USING FIRST CLAIM INSURANCE ADJUSTERS YOU WILL HAVE THE ABILITY TO LOOK AT YOUR INSURANCE SETTLEMENT AND REALIZE FIRST ...
Comment by ADB on 4 October 2008:
absolutely true for large tenants in the Bay Area. Landlords won’t be dropping rents yet but they will start offering more concessions like free rent, options and better tenant improvement packages (provided they have the credit).
Thanks,
Alan Bernier, Rofo - San Francisco Office Space