Q2 Office North American Highlights

Source: Colliers International


Office Space Market Shows Further Softening in Second Quarter

&

U.S. office vacancy rate posts third consecutive increase

&

Further contraction in occupied space
-------------------------------------------------------------------------------

=Bad News


And now the numbers:

Vacancy Rate Q2 2008 (Change from Q1 2008) – 13.24% (+0.27)
Absorption Q2 2008 (Million Square Feet) – -1.4
New Construction Completions Q2 2008 (Million Square Feet) – 19.4
Under Construction Activity (Million Square Feet) – 121.0
Asking Rents Per Square Foot (Change from Q1 2008)
• Downtown Class A – $50.10 (+1.45%)
• Suburban Class A – $28.70 (-0.26%)

Worst Market In North America (based on vacancy rate) Is:

*Drum-roll*

Pleasanton/Walnut Creek, CA with a vacancy rate of 24% average asking downtown class A rents of $2.30.

Somehow they forgot to add the Inland Empire. I am almost positive I submitted my numbers, I am going to call them and ask them why my market was bumped.

The vacancy rate for the Inland Empire is 16.1%, so it could be a lot worse.