High Demand for Houston Office Space for Lease
November 07, 13
According to a recent article in the Houston Business Journal, the demand for office space for lease in the Houston area continued to outpace supply, in spite of increased construction. Further, many of the buildings that are soon to be constructed have already been spoken for. This scenario, known as a landlord's market, is predicted to last for at least another year to year and a half. What does this mean for property owners with office space to lease, though?
It means, the article stated, that once the new construction reaches the market, the rent on existing Class A downtown office towers will reach the rent ceiling and landlords will no longer be able to raise their rates past that of available new construction. What it also means, however, is that now -- while demand is high -- is the perfect time to lease that office space.
While the area oil boom is certainly responsible for much of the current demand for new and existing office space, supporting industries and others attracted to Texas' business friendly environment are also coming into the area. Consider, for example, the nonprofit technology research institute, Batelle Memorial Institute, which recently announced that it is expanding its office needs and its services in Houston. The institute will initially provide contract research for energy companies, but hopes in the future to work with health care and aerospace companies as well.
Leasing office space is an intricate process. There are more factors than occupancy and rental rates to consider. As a landlord, you want to see your property reach its maximum potential, and you want the right tenant for your space. LandPark Commercial wants that, as well. We offer a marketing strategy specifically tailored to suit your specific needs and a large network of brokers so that you can fill your vacancies quickly. For more information, contact us.