KentXie
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Hopefully this will initiate a huge high-rise boom.
Commercial vacancies on way down
By Scott Van Voorhis
Boston Herald Business Reporter
Tuesday, July 11, 2006
Boston?s corporate sky-rises, half empty just a few years ago, are filling up fast, a new report shows.
The vacancy rate for downtown Class A space has dipped below 10 percent for the first time in four years, commercial real estate firm Cushman & Wakefield reports.
The Financial District vacancy rate has fallen to 9.6 percent, down from 12.4 percent a year ago.
The improvement represents a dramatic shift, with brokers not long ago wondering who would rent empty corporate suites across downtown. Local mainstays, like FleetBoston, have been faced with downsizing after acquisitions by out-of-state firms.
But steady expansion by small and midsized companies has helped fill that space, executives have said.
?The market is definitely looking better,? said Gil Dailey, a Cushman senior director. ?We are starting to see more companies grow.?
And the Financial District has led the way, outperforming all other office submarkets, including the Back Bay and South Boston, Cushman finds. Firms have absorbed 448,000 square feet of empty space in Boston?s business district over the past year, or roughly half the Prudential tower, Cushman reports.
?The commercial real estate market in Boston is improving at an impressive pace,? said Tom Collins, executive managing director and vice president of Cushman?s New England operations.
Commercial vacancies on way down
By Scott Van Voorhis
Boston Herald Business Reporter
Tuesday, July 11, 2006
Boston?s corporate sky-rises, half empty just a few years ago, are filling up fast, a new report shows.
The vacancy rate for downtown Class A space has dipped below 10 percent for the first time in four years, commercial real estate firm Cushman & Wakefield reports.
The Financial District vacancy rate has fallen to 9.6 percent, down from 12.4 percent a year ago.
The improvement represents a dramatic shift, with brokers not long ago wondering who would rent empty corporate suites across downtown. Local mainstays, like FleetBoston, have been faced with downsizing after acquisitions by out-of-state firms.
But steady expansion by small and midsized companies has helped fill that space, executives have said.
?The market is definitely looking better,? said Gil Dailey, a Cushman senior director. ?We are starting to see more companies grow.?
And the Financial District has led the way, outperforming all other office submarkets, including the Back Bay and South Boston, Cushman finds. Firms have absorbed 448,000 square feet of empty space in Boston?s business district over the past year, or roughly half the Prudential tower, Cushman reports.
?The commercial real estate market in Boston is improving at an impressive pace,? said Tom Collins, executive managing director and vice president of Cushman?s New England operations.