Cushman report: Office vacancies on the rise in Twin Cities
August 04, 2010 | Staff Writer | Print Article | Email this Article
Office vacancy rates in the first half of 2010 have risen in the Twin Cities.
Cushman & Wakefield‘s midyear 2010 statistics show that the Minneapolis/St. Paul CBD office vacancy rate rose to 19.5 percent. That’s above the national average of 14.8 percent and up from 19.3 percent at the end of the previous quarter.
These rates mark the highest in the Minneapolis/St. Paul CBD since the first quarter of 2006.
The fact that the Twin Cities’ vacancy rate is rising is a bit of an anomaly. The office vacancy rate for all U.S. CBDs fell to 14.8 percent in the first half of 2010, a drop of 0.2 percentage points from where this rate stood at the end of March. This marks the first quarterly fall in vacancy rates since the fourth quarter of 2007.
Executive managing director Clinton Miller said that the uptick in office vacancy rates was not indicative of the overall performance of the Minneapolis/St. Paul market.
“Our suburban office markets recorded nearly 500,000 square feet of positive absorption during the first half of the year, mirroring positive activity seen across the country,” Miller said.
Tags | Cushman & Wakefield, Minneapolis, Office, St. Paul
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