2015’s 3rd Quarter saw the office market drop in capital values and rents causing feelings of uncertainty in the economy for Parc Riviera EL Development West Coast Condo.
Experts believe that the market will remain slowed down with a rather large supply in the pipeline of new space, as well financial institutions continuing to to send some business away from the central city locale into much cheaper suburban areas for West Coast Vale EL Development.
Recent data has shown a drop in office rents to 2.9% from the 2nd Quarter and into the 3rd Quarter, compared to the 2.6% drop seen for 2015’s first 3 months into the 2nd Quarter.
West Coast EL Development Condo
The 3rd Quarter also saw a drop of 2% in rents for retail space, in comparison to the past 3 months that saw a large rise from its 2nd Quarter drop of 0.5%.
The quarter also saw a dip in West Coast Vale Condo office prices of 0.1% in comparison to its past 3 months. However, according to recent data from URA. this was U-turn from its 2nd Quarter, where a 0.3% increase in price was noted over 2015’s first three months.
One analyst shared that banks continue to curtail their requirements for space by moving a number of their staff that work in the back office to business parks that are much cheaper in the Central Business District for EL Development Condo.
It was also pointed out that the pressure of costs was beginning to be felt in the legal sector, which is a considerable occupier of EL Development West Coast Condo prime space in the Central Business District. For example, it was reported that the Big Four law firms where cutting bonuses and base pay.
Rents in EL Development Condo West Coast
Concurrently, the insurance sector’s growth may also be slowed down by regulatory directives. Growth in this sector has been tipped as a means of supporting a leasing market that has gone limp. With it being unlikely that the sentiment in the market will improve anytime in the coming months, as a result of a global economy that continues to be weak, it is expected that more declines in rents will be seen in ensuing quarters for West Coast Vale Condo.
Another analyst shared that, even with an office rental index that has markedly softened, stability has continued in the price index, which indicates sellers holding a firm stance on West Coast EL Development Condo prices.
This resilience in price being seen in both retail and office space indicates that sellers and owners position haven’t been affected badly so far by the sluggish economy.
West Coast Vale Condo
There was a slight improvement in the rate of occupancy of office space for the 3rd Quarter, regardless of new lease take-up being weaker. The 3rd Quarter showed a drop down to 62% of space being taken up with just 161,000 square feet in comparison to the 2nd Quarter that showed the amount of space being taken up at 409,000 square feet.
There was an improvement seen in West Coast Vale Condo vacancy rates islandwide, which went from 9.8% to 9.6% as a result of 32,000 square feet of office stock being removed. However, it is expected that the rate of vacancy overall will grow into the double digits in 2016 as a result of a record supply that will be nearly 4 million square feet.