HOUSTON (Colliers International) – Houston’s office market posted 81,091 sf
of positive net absorption during second quarter 2011 with the majority taking
place in the suburban sector, according to the latest report from Colliers
International.
Year-over-year vacancy rates decreased from 16.5 percent to 15.9 percent
citywide.
Rental rates continued to decrease during the second quarter, with the
citywide average rate dropping to $22.70 from $23.81 per sf in the first
quarter.
Vacancy in CBD Class-A properties continued to soften, reaching 12.5 percent
compared with 9 percent a year ago. In contrast, Class-A suburban vacancy
decreased to 16.2 percent from 19.6 percent a year earlier.
Leasing activity decreased between quarters, consisting mostly of renewals
and/or expansions, suggesting tenants took advantage of more favorable lease
terms.
