The national commercial real estate industry appears to be showing signs of improvement.
In May 2014, the National Association of Realtors (NAR) reported that in the first quarter
2014 the national average sales volumes for commercial real estate activity rose 11 percent from over a year ago, and sales prices increased 4 percent year-over-year.
With regards to leasing activity, NAR shows a 5 percent improvement from the previous year and a 2 percent increase in rental rates over the previous quarter.
How does this effect Wilmington, NC?
On a local level, lease rates are going up, according to statistics provided by Loopnet.com. This is evident in our retail, office and multi-family sectors as you see new development in areas like Mayfaire, downtown, Eastwood Road, College Road, Oleander Drive and Porters Neck. Industrial activity is also showing some rebound with smaller to medium users looking for expansion into larger second-generation space. As lease rates continue trending upward and vacancy slowly grows smaller, the need for new development should continue to increase.”
-Tyler Pegg, co-founder of The CRESS Group of Coldwell Banker Commercial Sun Coast Partners
Original article was published at Wilmingtonbiz.com under the Soundoff Market Update. Click here to view.