Net positive absorption kicks off San Antonio's Tricentennial year
Average asking rates reach all-time high, up 5.3% year-over-year
The Alamo City’s office market kicked off the Tricentennial year with a net positive in absorption figures. Despite new construction deliveries, vacancy remains steady at 14.1%, just below the five-year average of 14.4%. The San Antonio MSA’s unemployment rate remained near a 13-year low of 3.4%, compared to a national rate of 4.1%. New construction totals reached an all-time high of 1.6 million square feet (49.4% pre-leased).
Demand & Absorption - Gains in first quarter
Net absorption in the first quarter was positive with a total of 24,871 square feet. This compares to 113,556 SF in Q4 2017, negative 119,011 SF in Q3, and 120,251 SF at mid-year, totaling 139,667 SF for the previous 12 months. This quarter’s largest leases and historic net absorption figures are outlined below: