Austin remains one of the strongest markets for the construction of new office space despite having one of the highest vacancy rates and price per square foot in the nation, according to data gathered by the real estate services group Commercial Edge. The group’s July report found Austin has 6.2 million square feet of office space under construction – behind only Seattle, Manhattan and Boston – while its current vacancy rate sits at 20.5 percent, higher than all other markets listed except Houston’s 23.3 percent rate. Austin’s per-square-foot cost of $82.34 was also higher than all other markets except Boston. Among use classes, professional and business services showed the most growth among local office space occupants, with information/technology and financial activities showing growth of less than 1 percent each.
Chad Swiatecki is a 20-year journalist who relocated to Austin from his home state of Michigan in 2008. He most enjoys covering the intersection of arts, business and local/state politics. He has written... More by Chad Swiatecki