LEASING FALLS DURING 2018
Deal volume totaled 5.8 million square feet (msf) during 2018, down from 6.2 msf during 2017.
AVAILABILITY RATE RISES
The availability rate* for the region rose by 40 basis points to 19.7%. The Class A availability rate posted a 30 basis point increase to 20.3%. The Class B and C availability rate dropped by 60 basis points to 19.0%.
MODERATE JUMP IN RENT
The overall asking rent in Phoenix increased by 3.7% to $27.34 during the third quarter. The average Class A rent, ticked up by 0.9% to $30.90.
SALES INCREASE
Office property sales during the first seven months of the year totaled $1.5 billion, a 18.4% increase compared to the first seven months of 2017.
“Phoenix’s economy and office market registered above-average employment growth and steady leasing over the course of 2018. A pickup in new construction has started to boost availability rates. Additionally, the proliferation of coworking space providers is introducing flexibility to the market."
Tiffany Winne,Executive Vice President