U.S. Office Leasing Activity in Central Business Districts Up 31.6 Percent

 ORLANDO, FL-- Cushman & Wakefield released third quarter 2010 statistics for the U.S. office market that show leasing activity maket-wide in Orlando decreased 7.1% year-over-year, ending the third quarter at 1.5 million square feet, compared to 1.6 million at the end of the third quarter of 2009.

 Year-to-date leasing activity for U.S. central business districts (CBDs) totaled 45.5 million square feet at the end of the third quarter of 2010, a 31.6 percent increase in activity from the 34.6 million square feet leased at this time last year. 

Of the 31 CBDs tracked by Cushman & Wakefield, 18 saw year-over-year increases in leasing activity.

 The rise in leasing activity led to declines in vacancy in most markets.  After reaching a high of 15.0 percent at the end of first quarter of 2010, the overall U.S. CBD vacancy rate continued its decline for the second consecutive quarter, ending the third quarter at 14.7 percent, down from 14.8 percent at midyear 2010. 

 The overall vacancy rate for Orlando decreased to 18.8 percent at the end of the third quarter of 2010, down from 20.0 percent at the end of the second quarter.

 The overall rental rate for U.S. CBDs remained unchanged quarter-over-quarter.  Rental rates for Orlando fell during the third quarter to $24.11 per square foot, down $0.08 from $24.19 at midyear 2010.

 The year-to-date absorption rate, a measure which indicates the net change in occupied space, was negative 1.25 million square feet at the end of the third quarter, a 96 percent increase in absorption from the negative 32.1 million square feet at the end of the third quarter of 2009.

 Orlando’s absorption rate was negative 25,406 square feet at the end of the third quarter, compared to negative 152,537 at this time last year.

 Contact: Brook Hines, Tel: 407-541-4401, brook.hines@cushwake.com

http://www.cushwake.com/

U.S. overall industrial vacancy remains unchanged at 10.6 percent

ORLANDO, FL – Cushman & Wakefield today released third quarter statistics for the U.S. industrial market that show the vacancy rate in Orlando at 14.6 percent at the end of the third quarter, unchanged from midyear 2010. 

The overall U.S. industrial vacancy rate remained unchanged from midyear, ending the third quarter at 10.6 percent, after peaking at 10.8 percent at the end of the first quarter of this year.

 Year-to-date leasing activity for the U.S. industrial market totaled 189.8 million square feet at the end of the third quarter of 2010, an 11.9 percent increase in activity from the 169.5 million square feet leased at this time last year.  Leasing activity in Orlando decreased to 2.2 million square feet, compared to 2.4 million at the end of the third quarter of 2009.

 The year-to-date overall absorption rate, a measure which indicates the net change in occupied space, was negative 6.2 million square feet at the end of the third quarter, a 94.7 percent increase in absorption from the negative 118.5 million square feet at the end of the third quarter of 2009.  Orlando’s absorption rate was negative 618,958 square feet at the end of the third quarter, compared to negative 1.5 million at this time last year.

 “While the overall vacancy rate remains unchanged, we are fairly confident that it has hit its peak,” said Jim Dieter (top right photo), executive vice president of Cushman & Wakefield’s Industrial Services.

  “With continued improvements in leasing activity, we should start to see some downward movement in the overall vacancy rate through the end of the year.”

 Industrial construction remained at historical lows in the third quarter of 2010.  Year-to-date product completions totaled 12.3 million square feet, down 77.9 percent from the 55.8 million square feet completed at this time last year. 

 “With nearly 14 million square feet expected to be completed through the remainder of the year, 2010 is on track to see the most limited amount of new construction added to the market since Cushman & Wakefield began tracking the market,” said Maria Sicola (middle right photo), executive managing director and head of Americas Research for Cushman & Wakefield. 

Contact: Brook Hines, Tel: 407-541-4401, brook.hines@cushwake.com, http://www.cushwake.com/