Office Rents Hit All-Time High in May

While office vacancy in May 2019 increased slightly to 10.4% in San Antonio, gross average asking rents continued their climb, according to a report released by NAI Partners. The firm’s analysts noted that the average asking rate was $23.23-per-square-foot, representing a new all-time high for the sector.

Meanwhile, occupancy of the 334,000 square feet delivered to the market so far in 2019 is at 81.2%; of the 1.5 million square feet currently under construction, 58.6% is pre-leased. Year-to-date, 1.1 million square feet has been leased, a 135% increase from the same period in 2018.

The unemployment rate in April 2019 stood at 2.9%. Noted NAI Partners analysts: “Low unemployment can be problematic when it comes to economic development in some of the city’s industries . . . when there aren’t enough qualified workers for the number of job openings that exist.”

For comments, questions or concerns, please contact Amy Sorter