.jpg "Image treatment")
LEASING FALLS
Following a strong quarter of activity, with 3.7 million square feet (msf) leased – quarterly activity decreased to 3.1 msf. Tenants have leased 14 msf in the four most recent quarters, on track with the long-term market average.
AVAILABILITY RATES INCH HIGHER
The market’s overall availability rate increased by 10 basis points from 24.4% to 24.5%. The Class A availability rate stayed constant at 24.9%.
RENT UP SLIGHTLY
The overall asking rent rose from $24.04 to $24.49, and remains unchanged yearon-year. Similarly, the Class A asking rent increased by 1.2% during the quarter to $26.49, but was constant year-on-year.
SALES DOWN
Office property sales during the last six months (through February 2018) totaled $1.7 billion, a 34% decrease compared to the previous six–month total of $2.7 billion.
"The rent gap between the most sought after locations – Uptown/Turtle Creek as well as West Plano/Frisco – and lagging locations – such as the Dallas CBD and LBJ Freeway – continues to widen. Taking rent in the very top-tier properties is exceeding $50/sf. On the other hand, tenants can find mid-$20/sf space in the Dallas CBD."
Frank McCafferty, Executive Managing Director