Thanks to Susan Golashovsky for the link.
From the Business Review:
Building owners are generally having more success filling office space, and their tenants are paying slightly more per square foot, according to a survey by CBRE-Albany.
The average office vacancy rate in the five-county region surrounding Albany, New York, was 12.7 percent in the first half of this year, compared to 13.5 percent in the second half of 2014, according to the CBRE-Albany, the largest commercial real estate broker in the area.
Asking lease rates varied from $16.77 per square foot in downtown Albany to $18.16 for Class A suburban space. The overall average for the region is $16.50, a 31 cent increase over the second half of 2014.
Read the rest here: CBRE-Albany reports decline in office vacancy rate in Albany, New York, area – Albany Business Review.
From the Business Review:
Slightly more than 1 million square feet of industrial space was filled in the first half of 2015 in the Albany, New York, area, dropping the vacancy rate to the lowest level since before the last recession, according to a survey by CBRE-Albany. The vacancy rate among 63.1 million square feet of industrial space was 7.3 percent, compared to 8.9 percent in the second half of 2014. The industrial vacancy rate hasn’t been that low since before the 2007-08 recession, according to CBRE.
The “GlobalFoundries effect” has led to historically high leasing rates and faster leasing times on buildings within 10 miles of the Luther Forest Technology Campus, according to CBRE-Albany.
According to Richard Sleasman, President of CBRE-Albany, a major factor driving that demand is that suppliers are now committing to leases that are five to seven years long, as opposed to the shorter-term leases that were common when the computer chip plant opened several years ago. Short-term leases make it difficult, if not impossible, for developers to get financing for new construction.
The tightness of the market also means tenants are paying more.
The asking lease rate in Albany County increased 32 cents per square foot, to $4.59 per square foot, and $1.18 per square foot in Saratoga County, to $6.69 per square foot, compared with a year ago.
The overall average asking lease rate for the Capital Region fell slightly to $4.09 per square foot, a decline attributed to space available outside the core four counties.
Read the whole article at: CBRE-Albany reports big jump in warehouse leasing in Albany, New York, area – Albany Business Review
According to the Business Review, the U.S. Census Bureau reports that multi-family building permits in the Albany MSA (Albany, Rensselaer, Saratoga, Schoharie, and Schenectady Counties) significantly exceed single-family permits by 1,400 to 597 in the first six months of 2015, suggesting that “millennials” prefer to rent rather than buy.
However, this data is based on only six months of activity and single-family could catch-up and exceed multi-family in the last six months of this year, as it did last year. Other studies show that just as many millennials want to buy a home as want to rent an apartment.
Regardless of the balance between multi- and single-family permits, the Capital District Regional Planning Commission says that multi-family is growing significantly with an average of 939 multi-family permits issued annually from 2011 to 2014, compared to 590 from 2007 to 2010 (Schoharie County excluded).
Read the rest of the article here: Albany, New York, region sees big jump in multi-family building permits – Albany Business Review
There’s a mouthful. Floccinaucinihilipilification. It means, according to Dictionary.com, “the estimation of something as valueless.” It’s one of the longest words in the English language. It’s a good thing I don’t often appraise property as valueless- I’d hate to have to pronounce the word in court. I’d have to play this link instead: Dictionary.com audio. Thanks to my wife, Susan Snowdon, for her alert word-sleuthing.