Good news continues to roll in about Utah business in 2013. A large commercial real estate services firm recently issued its annual review of Utah’s commercial real estate market. According to the review, the market is returning to pre-recession levels here in Washington County and across the state.
The greatest surge was recorded in total investment sales; last year at the second-highest total in history (almost $1.4 billion in sales).
The president of the real estate company that did the review said that in our state, we have not only recovered from the recession, but we are now into “a period of expansion.”
The report indicated that Washington County’s industrial real estate market’s vacancy rate dropped nearly in half last year: it fell 3.8 percent to finish at 4 percent.
The increased demand for industrial properties is expected to continue this year.
While that’s great news, the news on the office markets was not quite as spectacular in our county. The report noted “moderate improvement” in this subsection of the real estate market, with the vacancy rate dropping 1.7 percent in 2013, to finish the year at 11.5 percent.
In the retail real estate market, Washington County “was hit with several significant tenants giving back space.” But overall, Class A retail outperformed all other types of commercial properties. High demand for retail real estate here generates high rents, the report noted, and few vacancies.
The bottom line in the report is that commercial real estate markets are thriving across our state known for its business-friendly approach, quality of life and educated populace.
For those interested in making commercial real estate transactions, an experienced business attorney can help with purchase and sale agreements, leases and other crucial aspects of a plan for growth.
Source: UtahBusiness.com, “Report Shows Strong 2013 for Commercial Real Estate Growth,” Feb. 4, 2014