Low vacancies and high demand dominated the discussion at The Registry’s Mid-Year Broker Forum earlier this month, where several of the Bay Area’s top leasing and investment brokers spoke on the state of the commercial real estate market...
Despite the booming market, manufacturing and warehousing face many of the same problems as other markets—rising rents and lack of space. Amidst companies running out of space in the East Bay and continued expansion by BART, which bought 400,000 square feet off the market recently, Lagomarsino predicted the Central Valley would become a new hub for expansion with lower rents and untapped space.
But Savills Studley Executive Managing Director John Brady said rather than indicating healthy growth, high rents and low vacancies have made this the worst market in his 40 years of experience. Working as a tenant representative with emerging technology companies, Brady said many of these companies are forced to compete for space, overpay and sign long-term leases.Low Vacancy, High Demand is the Theme for Bay Area Leasing
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