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Las Vegas Commerce Real Estate Solutions 1Q10 Industrial Market Report
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1ST QTR 2010
I N D U S T R I A L MARKET REPORT
LAS VEGAS
Our VisionWe are the firm of choice - a real estate advisor and principal - the global standard for knowledge, service, and execution.
Our ValuesThese values govern all that we do: Our CLIENTS come first
Our foremost standard of conduct is INTEGRITY
Every employee is a TEAM member and contributes to our success
Individually and collectively striving to achieve EXCELLENCE in everything we do
Treating each other and our clients with RESPECT and DIGNITY
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Realize the value in actively recruiting, developing, and mentoring talented individuals of DIVERSE cultures and backgrounds
PROFITABILITY - Drives our ability to invest, improve, and succeed
3800 Howard Hughes, Pkwy, Suite 1200 | Las Vegas, NV 89169Tel: 702.796.7900 | Fax: 702.796.7920 | www.comre.com
1ST QTR INDUSTRIAL MARKET REPORT
Industrial Market IndicatorsCurrent
1Q10Change Since
1Q09Vacancy 15.01%Lease Rates (NNN) $0.60 NNNNet Absorption* (1,038,635)Construction N/A*The arrows are trend indicators over the specified time period and do not represent a positive or negative value. (e.g., absorption could be negative, but still represent a positive trend over a specified period.)
AT A GLANCEIndustrial vacancy rates in the Las Vegas area • once again rose this quarter, this time by 98 basis points, to 15.0% in comparison to 14.0% in the fourth quarter. The current vacancy rate is up 3.2% from a year ago when rates averaged 11.7%. With new development at a stand still, vacancy should begin to stabilize as space is absorbed.
Average asking lease rates showed a slight • decrease throughout the past quarter. By the end of 2009, the market showed an average rate of $0.64 per square foot (psf), however by the end of first quarter the rate dropped to $0.60 psf.
Developers have halted many projects resulting • in no new construction completions during first quarter. Going forward, only 967,973 sf of under construction product is still in the pipeline. With the continued hesitation of developers to build product in the current economic conditions, we don’t expect much of the planned product to come online any time soon.
The economic outlook continues to be a • growing concern for both landlords and tenants as tighter credit terms; rising inflation and rising unemployment continue to affect the Las Vegas area.
On the bright side, activity has picked up in • comparison to 2009.
NATIONAL AND STATE EMPLOYMENT AND UNEMPLOYMENT OVERVIEW
National unemployment rates reached a 28 year high at 10.4% with roughly 11 million unemployed workers that are now drawing unemployment insurance
benefits. In February alone, 27 states recorded unemployment rate increases. The highest regional jobless rates were in the Western part of the country, while the Northeast recorded the lowest rates. Michigan again recorded the highest unemployment rate among the states at 14.1% in February. The states with the next highest rates were Nevada, 13.2%; Rhode Island, 12.7%; California and South Carolina, 12.5% each; and Florida, 12.2%. The Las Vegas economy continues to be impacted by downturns and a high employment rate, currently 13.9%, in all major sectors, including gaming, construction, financial and real estate. The recession will most likely be a “jobless recovery.” Since World War II there have been a total of 11 recessions and in the most recent recessions before the 2007 recession, job growth lagged long after the recession. In fact it took several years for the unemployment rate to return back to prerecession levels. Employment growth is critical to future economic growth and the return to a healthy commercial market which may take several years to accomplish.
-1%1%3%5%7%9%
11%13%15%
1Q07
2Q07
3Q07
4Q07
1Q08
2Q08
3Q08
4Q08
1Q09
2Q09
3Q09
4Q09
1Q10
Las Vegas – 13.9% Nevada – 13.2% US – 9.7% Unemployment rates 1Q10
ECONOMIC INDICATORSNational 2009 2010F 2011FGDP Growth -2.4% 2.8% 3.7%CPI Growth -0.3% 1.9% 2.1%RegionalUnemployment 12.1% 13.9% 13.5%Employment Growth -6.2% -1.8% 0.4%Source: Moody’s | Economy.com
SIGNIFICANT 1Q10 NEW LEASE TRANSACTIONSBUILDING TENANT SF PROPERTY TYPE4335 Arcata Way Moen Inc 219,068 Warehouse
Traverse Point Ocean Spray Cranberries
100,693 Warehouse
840 Pilot Rd Vitacost.com 90,000 Warehouse
SIGNIFICANT 1Q10 SALE TRANSACTIONSBUILDING BUYER SF PURCHASE
PRICEDecatur Crossing York Decatur
Crossing140,594 $17,750,000
Park West Business Ctr Edward Kuchar 23,517 $2,000,000
Coleman Airpark Moca LLC 12,439 $750,000
SIGNIFICANT 1Q10 CONSTRUCTION COMPLETIONS
BUILDING MAJOR TENANT SF COMPLETION DATE
N/A SIGNIFICANT PROJECTS UNDER CONSTRUCTIONBUILDING MAJOR TENANT SF COMPLETION
DATECivic Center N/A 124,135 2/10Blue Diamond Business N/A 250,000 3/10
1ST QTR INDUSTRIAL MARKET REPORT
LAS VEGAS MARKET OVERVIEW
As we start the New Year, the big question on everyone’s minds is what is going to happen next and will the signs of recovery start to show and what will it look like for the Las Vegas market. Experts around
the nation believe that recovery will start to show by early 2011 and in some areas may have already hit rock bottom. UNLV Economics Department Chairman Dr. Stephen Miller says “Improvements in taxable sales, gaming revenue and McCarran Airport passenger counts are good indicators of an improving economy (for the Las Vegas market).” Miller goes on to state that “a lot of things are happening locally that are suggestions that the economy is trying to reach bottom and turn around.” While Southern Nevada’s local economy may be starting to see the bottom of the commercial recession period, some experts are still analyzing declining property values, maturing commercial loans, ownership vs. leasing, the benefit of receiverships and the local business activity.
According to Kenneth P. Riggs, President and CEO of RERC, “The past decade has served up some tough lessons about acting on our gut instincts and about what makes sense and what simply does not fit with sustainable practices. But for investors seeking to seize market opportunities, 2010 is time to gear up for a possible once-in-a-lifetime opportunity to snag key long-term investments in commercial real estate.” In 2010, with leasing activity lagging, we are seeing more landlords willing to hang “For Lease” and “For Sale” signs on their buildings. John Kulper, President of Commercial Alliance of Realtors, wrote, “While lenders generally are avoiding investment real estate, owner-occupied commercial real estate is beginning to look attractive again.” Real Capital Analytics also agrees stating that “owner-occupied purchase now represent almost 10% of global transactions and will be involved in a greater share of property deals.” In a recent study, most commercial brokerage firm’s executives believe that “real estate prices now make it more financially advantageous to buy rather than lease.” In the Las Vegas market, commercial property values and asking rates continued to fall this quarter which may help with the decision to either buy or lease.
The Federal Government is also monitoring the weakness of the commercial real estate market. The Feds believe that the weakness of commercial loans is a very serious problem because the whole economy
LAS VEGAS INDUSTRIAL MARKET
The Las Vegas industrial market posted additional upward movement in vacancy rising to 15.01% during 1st quarter 2010. The Central submarket continues to show the lowest vacancy rate at 8.55% along with Speedway at 11.09% and the Southwest submarket at 13.81%. The highest vacancy submarkets are the Northwest at 26.57%, Airport at 21.25% and West submarket at 15.84%. Vacancy rates for all product types in the industrial market have increased during the 1st quarter with Distribution increasing to 15.00% from 14.14%, Flex increasing to 23.29% from 21.64%, Freestanding increasing to 9.62% from 8.36%, Incubator increasing to 16.34% from 16.30%, and Midbay increasing to 19.38% from 18.01%. The high vacancy rates are a result of newer buildings that have come on line with little or no pre-leasing activity, combined with lease concessions, defaults and downsizing which is causing vacancy to rise. Sublease space in 1st quarter showed current availability at 1,589,497 sf (1.57% of the total market). Net absorption for the 1st quarter showed in the negatives again at -1,038,635 SF. The Speedway submarket showed the greatest amount of positive absorption with over 79,282 sf for 1st quarter while the North Las Vegas submarket posted the least amount with -424,311 sf of negative absorption.
could be hit, much like the housing bust has caused. Troubled commercial real estate loans could be the primary force behind bank failures this year. Elizabeth Warren, chair of the TARP Congressional Oversight panel stated “Around half of all commercial mortgages will be underwater by the end of 2010, posing a very serious problem for the economy over the next three years.”
1ST QTR INDUSTRIAL MARKET REPORT
Industrial: Quarterly Vacancy
0%
2%
4%
6%
8%
10%
12%
14%
16%
Q1 06
Q2 06
Q3 06
Q4 06
Q1 07
Q2 07
Q3 07
Q4 07
Q1 08
Q208 Q308 Q408 Q109 Q209 Q309 Q409 Q110
Industrial: Quarterly Absorption (SF)
(3,000,000)
(2,500,000)
(2,000,000)
(1,500,000)
(1,000,000)
(500,000)
-
500,000
1,000,000
1,500,000
2,000,000
2,500,000
Q1
06
Q2
06
Q3
06
Q4
06
Q1
07
Q2
07
Q3
07
Q4
07
Q1
08
Q2
08
Q30
8
Q40
8
Q10
9
Q20
9
Q30
9
Q40
9
Q11
0
Industrial: Inventory (SF) and Vacancy Rate (%)
14.03%
60,000,000
70,000,000
80,000,000
90,000,000
100,000,000
110,000,000
Q1 06
Q2 06
Q3 06
Q4 06
Q1 07
Q2 07
Q3 07
Q4 07
Q1 08
Q2 08
Q308 Q408 Q109 Q209 Q309 Q409 Q110
0%
2%
4%
6%
8%
10%
12%
14%
16%
Industrial: Industrial Employment vs Vacancy Rate (%)
11.77% 12.92% 13.35% 14.03%
15.01%
100,000
125,000
150,000
175,000
200,000
225,000
250,000
Q109
Q209
Q309
Q409
Q110
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
Industrial Type Vacancy Rates
Distribution, 15.00%
Freestanding, 9.62%
Incubator, 16.34%
Midbay, 19.38%
Flex, 23.29%
Industrial: Inventory (SF) and Vacancy Rate (%)
14.03%
60,000,000
70,000,000
80,000,000
90,000,000
100,000,000
110,000,000
Q1 06
Q2 06
Q3 06
Q4 06
Q1 07
Q2 07
Q3 07
Q4 07
Q1 08
Q2 08
Q308 Q408 Q109 Q209 Q309 Q409 Q110
0%
2%
4%
6%
8%
10%
12%
14%
16%
Industrial: Industrial Employment vs Vacancy Rate (%)
11.77% 12.92% 13.35% 14.03%
15.01%
100,000
125,000
150,000
175,000
200,000
225,000
250,000
Q109
Q209
Q309
Q409
Q110
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
Industrial Type Vacancy Rates
Distribution, 15.00%
Freestanding, 9.62%
Incubator, 16.34%
Midbay, 19.38%
Flex, 23.29%
NEW SUPPLY (COMPLETIONS) AND MARKET DEMANDS
Developers have halted many projects resulting in no new construction completions during 1st quarter. Going forward, only 967,973 sf of under construction product is still in the pipeline. With the continued hesitation of developers to build product, due to scarce construction financing and weak rents, we also don’t expect much of the planned product to come online any time soon. Future new supply levels will continue to shrink as market corrections are underway. It may take another five years for the housing market to become stable, credit to start flowing and employment to become active again before any rise in construction numbers. For a smart recovery, the industrial market needs to solve the imbalance of supply and demand by allowing existing vacant space to be absorbed and wait out this business cycle before any major growth should happen.
PRICING (AVERAGE ASKING RENTS)
Pricing within the industrial sector continues to drop as landlords work with tenants and offer better tenant improvement allowances, greater concessions and even negotiate new lease terms. Short term leases seem to be a trend in the market where tenants have a controlling position. The effect of extended lease
up periods, slow economic conditions and growing commercial defaults will contribute to increased repossession activity by lenders that will result in further price adjustments.
The market wide industrial average asking rental rate has dropped to $0.60 PSF, the lowest rate we have seen since 1st quarter 2006 when it was at $0.50 PSF. By product type, average Distribution lease rates were $0.50 PSF at the end of 1st quarter. Freestanding units reported rents of $0.64 PSF, while Flex space averaged $0.68 PSF. Pricing for Midbay and Incubator space came in at $0.54 and $0.72 PSF, respectively.
1ST QTR INDUSTRIAL MARKET REPORT
Industrial Submarket - Direct vs Sublease Vacancy
21.25%
8.55%
15.53%14.44%
11.09%
26.57%
13.81%15.84%
15.01%
1.03% 0.39% 0.59%2.05%
0.00% 0.00%
2.90%0.63%
1.57%
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
Vacacny % 21.25% 8.55% 15.53% 14.44% 11.09% 26.57% 13.81% 15.84% 15.01%
Sublease % 1.03% 0.39% 0.59% 2.05% 0.00% 0.00% 2.90% 0.63% 1.57%
Airport Central SoutheastNorth Las
VegasSpeedway Northwest Southwest West
Las Vegas Area Total
Industrial Type Average Lease Rates
Distribution, $0.50
Freestanding, $0.64
Incubator, $0.72
Midbay, $0.54
Flex, $0.68
Industrial: Inventory Vacancy Rate vs Average Lease Rate
1.00%
2.00%
3.00%
4.00%
5.00%
6.00%
7.00%
8.00%
9.00%
10.00%
11.00%
12.00%
13.00%
14.00%
15.00%
16.00%
17.00%
18.00%
Q1 05
Q2 05
Q3 05
Q4 05
Q1 06
Q2 06
Q3 06
Q4 06
Q1 07
Q2 07
Q3 07
Q4 07
Q1 08
Q208 Q308 Q408 Q109 Q209 Q309 Q409 Q110
$0.00
$0.10
$0.20
$0.30
$0.40
$0.50
$0.60
$0.70
$0.80
$0.90
Industrial Type Average Lease Rates
Distribution, $0.50
Freestanding, $0.64
Incubator, $0.72
Midbay, $0.54
Flex, $0.68
Industrial: Inventory Vacancy Rate vs Average Lease Rate
1.00%
2.00%
3.00%
4.00%
5.00%
6.00%
7.00%
8.00%
9.00%
10.00%
11.00%
12.00%
13.00%
14.00%
15.00%
16.00%
17.00%
18.00%
Q1 05
Q2 05
Q3 05
Q4 05
Q1 06
Q2 06
Q3 06
Q4 06
Q1 07
Q2 07
Q3 07
Q4 07
Q1 08
Q208 Q308 Q408 Q109 Q209 Q309 Q409 Q110
$0.00
$0.10
$0.20
$0.30
$0.40
$0.50
$0.60
$0.70
$0.80
$0.90
OUTLOOK
In the coming months we expect commercial real estate prices to decline further and we won’t see any true recovery until the end of the year to early next year. The market will continue to be impacted by cautious consumer and companies activity, causing vacancies to remain elevated and most likely continue to increase. Rents will also continue to be impacted by the current economy and will continue to fall. According to a report produced by UNLV’s CBER “Southern Nevada business will continue to struggle with the after effects of the deepest recession in the
US since the Great Depression. To date, Southern Nevada has not enjoyed the same level of increase in business activity as the rest of the US.” The local economy will not pick up until we see robust growth in hiring. According to the survey with only 10 % of business anticipated to hire more workers, the recovery will be very slow for the Las Vegas area. We are optimistic going into 2010 that the bottom is near and compared to last year, vacancy is not rising and lease rates are not falling as fast or as far as we were witnessing.
Some early signs of stabilization may come from the growth of energy and clean technology companies and the growing strength of data centers. According to a recent survey conducted by Campos Research, 83% of senior decision markers at large corporations in North America “are planning data center expansions in the next 12 to 24 months.” The report goes on to state that, “most of the existing data centers are not able to handle the new advanced power and cooling capabilities that the data center equipment warrants.” The Digital Realty Trust’s survey agrees that data centers are growing due to the “need for additional power..70% of planned data centers are 15,000 sf or larger and at least 2 megawatts or greater of power.” In fact the survey states that “the cost and availability of power is more important than the square feet leased or owned.” Many states around the nation are looking at how to move data center locations to their market and Las Vegas could be a great market to see these types of industrial expansions due to our low energy rates compared to most of the western states.
1ST QTR INDUSTRIAL MARKET REPORT
dethgieWecapS ssorGweNteNdennalP.tsnoC rednUgnitsixEfo .oNBldgs. SF SF SF SF Rate Absorption Supply Leased Low Avg.
AirportDistribution 47 3,771,122 - - 871,209 23.10% 34,741 - 144,402 $0.35 $0.54
56xelF 1,821,953 - 87,385 578,631 31.76% (52,319) 17,709 $0.29 $0.80Freestanding 181 2,902,669 60,064 12,353 302,025 10.41% (39,014) - 37,466 $0.35 $0.70Incubator 79 1,867,406 - - 368,209 19.72% 17,888 - 59,928 $0.32 $0.88Midbay 55 2,522,357 - - 618,169 24.51% (61,105) - 63,630 $0.29 $0.63Airport Total 427 12,885,507 60,064 99,738 2,738,243 21.25% (99,809) - 323,135 $0.29 $0.71
CentralDistribution 14 910,521 - 0.00% 51,022 - 51,022
01xelF 112,213 - - 25,900 23.08% (6,100) - - $0.44 $0.54Freestanding 307 4,756,306 - 380,378 8.00% (97,241) 83,878 $0.25 $0.57Incubator 101 2,097,325 - - 237,945 11.35% (12,106) - 42,363 $0.25 $0.62Midbay 21 505,236 - 72,480 14.35% (19,621) - 5,612 $0.42 $0.46Central Total 453 8,381,601 - - 716,703 8.55% (84,046) - 182,875 $0.25 $0.55
SoutheastDistribution 51 6,066,309 - - 968,555 15.97% (17,361) - 117,524 $0.29 $0.52
92xelF 476,294 - - 54,701 11.48% 7,008 - 9,408 $0.39 $0.74Freestanding 232 3,224,665 - 98,400 348,691 10.81% 38,986 - 70,352 $0.25 $0.63Incubator 49 867,035 - - 100,007 11.53% 5,593 - 21,843 $0.30 $0.80Midbay 34 1,570,350 - - 423,126 26.94% (13,199) - 41,561 $0.39 $0.63Southeast Total 395 12,204,653 - 98,400 1,895,080 15.53% 21,027 - 260,688 $0.25 $0.66
North Las VegasDistribution 117 16,747,789 124,135 1,034,900 2,196,524 13.12% (230,235) 357,865 $0.27 $0.37
73xelF 967,913 - 176,520 226,045 23.35% (24,477) - 8,854 $0.25 $0.54Freestanding 476 6,509,760 166,420 153,888 645,825 9.92% (71,081) - 97,851 $0.25 $0.56Incubator 51 1,118,421 - 15,000 483,939 43.27% 19,967 - 3,907 $0.30 $0.53Midbay 53 2,352,257 194,712 276,525 446,695 18.99% (118,485) - 122,700 $0.24 $0.41NLV Total 734 27,696,140 485,267 1,656,833 3,999,028 14.44% (424,311) - 591,177 $0.24 $0.48
SpeedwayDistribution 9 889,091 - - 127,349 14.32% 5,938 - 52,126 $0.25 $0.25
7xelF 346,350 - - 12,667 3.66% 10,142 - 15,209 $0.27 $0.27Freestanding - - - - 0.00% - - - Incubator 2 26,887 - - - 0.00% 5,066 - 5,066 Midbay 20 1,314,491 - - 145,738 11.09% 58,136 - 68,310 $0.23 $0.36Speedway Total 38 2,576,819 - - 285,754 11.09% 79,282 - 140,711 $0.23 $0.29
NorthwestDistribution 3 257,510 - - 113,069 43.91% - - - $0.49 $0.73
61xelF 296,029 - 47,252 95,874 32.39% (27,192) - 12,389 $0.50 $0.90Freestanding 7 257,171 - 39,008 77,324 30.07% - - - $0.65 $0.65Incubator 10 232,073 - - 15,417 6.64% 43,738 - 44,434 $0.40 $0.70Midbay 1 130,000 - - 9,920 7.63% (6,295) - - $0.65 $0.65Northwest Total 37 1,172,783 - 86,260 311,604 26.57% 10,251 - 56,823 $0.40 $0.73
SouthwestDistribution 77 9,228,918 250,000 - 1,217,078 13.19% (139,370) - 198,492 $0.39 $0.63
59xelF 2,494,052 - - 616,976 24.74% 15,088 - 92,270 $0.29 $0.83Freestanding 394 5,469,935 - 409,477 7.49% (19,156) - 137,267 $0.25 $0.65Incubator 129 2,717,761 - - 304,572 11.21% 8,827 - 67,966 $0.25 $0.76Midbay 119 4,680,777 172,642 220,400 848,094 18.12% (10,276) - 221,754 $0.35 $0.64Southwest Total 814 24,591,443 422,642 220,400 3,396,197 13.81% (144,887) - 717,749 $0.25 $0.71
WestDistribution 24 1,770,309 - - 450,722 25.46% (78,298) - 33,022 $0.39 $0.49
04xelF 1,014,150 - - 142,679 14.07% (67,347) - 20,121 $0.30 $0.83Freestanding 266 3,350,222 - 382,781 11.43% (156,888) - 50,866 $0.35 $0.74Incubator 141 3,764,926 - - 564,157 14.98% (73,624) - 45,849 $0.38 $0.74Midbay 32 1,616,424 - - 283,334 17.53% (19,985) - 55,089 $0.35 $0.50West Total 503 11,516,031 - - 1,823,673 15.84% (396,142) - 204,947 $0.30 $0.66
Distribution 342 39,641,569 374,135 1,034,900 5,944,506 15.00% (373,563) - 954,453 $0.25 $0.50Flex 299 7,528,954 - 311,157 1,753,473 23.29% (145,197) - 175,960 $0.25 $0.68Freestanding 1,863 26,470,728 226,484 303,649 2,546,501 9.62% (344,394) - 477,680 $0.25 $0.64Incubator 562 12,691,834 - 15,000 2,074,246 16.34% 15,349 - 291,356 $0.25 $0.72Midbay 335 14,691,892 367,354 496,925 2,847,556 19.38% (190,830) - 578,656 $0.23 $0.54Las Vegas Total 3,401 101,024,977 967,973 2,161,631 15,166,282 15.01% (1,038,635) - 2,478,105 $0.23 $0.60
* All rates are asking, published prices. Actual (negotiated) rates may vary due to market conditions. Weighted average rates include sublease pricing.
CommerceLas Vegas Industrial Market Report Q1 2010
* setaR gniksAycnacaVlppuS & dnameDycnacaVyrotnevnI y Pricing
1ST QTR INDUSTRIAL MARKET REPORT
Industrial Buildings Can Be Classified as Follows:
Manufacturing Building (Incubator / Midbay):• Buildings with heavy power or the ability to accommodate heavy equipment. Generally has thick-flooring, some grade-level doors and less than 20% office. Usually very specialized. Incubator – 500-1500 sf divisibility, minimal office, on roll-up door / Midbay – 5,000-15,000 sf divisibility, 10-15% office build-out, dock high and grade level loading.)
Warehouse/Distribution Building:• 1-story industrial buildings designed primarily for distribution, 0-30% office, clear ceiling heights ranging 16’-28’, dock level truck loading and easy accessibility to transportation routes. Over 15,000sf divisibility, 3-5% office build-out, multiple docks and grade level loading.)
High-Tech Building (Freestanding):• Flexible use space designed for office, research and development, light assembly, laboratory and other tech-oriented uses. Typically 1 or 2 story, 80-100% office finish, ceiling heights between 12’-15’. Freestanding – Single or Dual user
Office Service/Flex Building:• 1-story buildings designed for 20-100% office spaces that have ceiling heights between 12’-15’. 1,500-3,000 sf divisibility, 40% or more office build-out, one roll-up door, high visibility.
Las Vegas Industrial Overview 2003-2010
4.95%
7.03%
4.84%
8.90%
14.03%
11.11%
3.43%
15.01%
01,000,0002,000,0003,000,0004,000,0005,000,0006,000,0007,000,0008,000,0009,000,000
73,96
4,220
78,00
1,956
81,15
8,665
87,20
2,467
89,57
3,947
102,4
21,43
3
100,9
03,76
4
101,0
24,97
7
$0.52 $0.56 $0.67 $0.75 $0.79 $0.78 $0.64 $0.60
2003 2004 2005 2006 2007 2008 2009 2010
Squa
re F
eet
1.00%
6.00%
11.00%
16.00%
Vaca
ncy
Planned Under Construction Total Space Completed
Net Absorption Vacancy Rate
1ST QTR INDUSTRIAL MARKET REPORT
INDUSTRIAL SUBMARKET MAP | LAS VEGAS
1ST QTR INDUSTRIAL MARKET REPORT
COMMERCE | FULL SERVICE COMMERCIAL REAL ESTATE SOLUTIONSCommerce Real Estate Solutions has been among the top commercial real estate brokerage firms in the Intermountain West for over 30 years. From our headquarters in Salt Lake City and offices in Provo/Orem, Clearfield and St. George, Utah, Las Vegas, Nevada and Seattle and Bellevue Washington we offer a full range of brokerage services, valuation and consulting, client representation and property/facility management. Our alliance with Cushman & Wakefield extends our reach worldwide.
Meeting your real estate objectives is our number one goal at Commerce Real Estate Solutions. Whether you’re looking to lease, own, develop or sell commercial properties, we have the team of professionals to get it done for you. Our seasoned agents are recognized both regionally and nationally for their first-rate performance; and because of their success, they tend to stay with our company longer. The average tenure of Commerce agents is one of the longest in the industry.
That means you’re getting an experienced agent when you do business with us. You’re also gaining access to our Information Services Group, which includes our Geographic Information System (GIS), the industry standard-bearer in mapping, Graphic Design and Marketing, and Research.
At Commerce we have a complete understanding of the real estate market. Our comprehensive database allows our agents to feel, track and analyze every movement in the industry and to see opportunities as soon as they arise. Combine this with the global resources of Cushman & Wakefield and you get the most innovative and progressive real estate brokerage in the Intermountain West: Commerce Real Estate Solutions.
Doing business in a brisk and nuanced marketplace is complex and difficult. We can help. Our experience, knowledge, innovative thinking, networking infrastructure and unmatched service make Commerce the clear choice for your commercial real estate needs.
Cushman & WakefieldCushman & Wakefield is the world’s largest privately-held commercial real estate services firm. Cushman & Wakefield is the world’s largest privately-held commercial real estate services firm. Founded in 1917, it has 231 offices in 58 countries and 15,000 employees. The firm represents a diverse customer base ranging from small businesses to Fortune 500 companies. It offers a complete range of services within four primary disciplines: Transaction Services, including tenant and landlord representation in office, industrial and retail real estate; Capital Markets, including property sales, investment management, valuation services, investment banking, debt and equity financing; Client Solutions, including integrated real estate strategies for large corporations and property owners, and Consulting Services, including business and real estate consulting. A recognized leader in global real estate research, the firm publishes a broad array of proprietary reports available on its online Knowledge Center at www.cushmanwakefield.com.
230 Offices in 58 Countries
C&W Owned Offices
C&W Alliance/Associate Offices
AS OF MARCH 2009
Australia Adelaide* Melbourne* Sydney
China BeijingChengduGuangzhou Hong KongShanghaiShenzhen
Fiji*India Bangalore ChennaiGurgaonHyderabadKolkataMumbai – CityMumbai – Suburbs New DelhiPune
IndonesiaJakarta
JapanTokyo
MalaysiaKuala Lumpur*
New ZealandAuckland* Wellington*
PakistanKarachi*
PhilippinesManila*
Singapore South KoreaBusanSeoul
TaiwanTaipei*
ThailandBangkok*
VietnamHanoiHo Chi Minh City
Alberta Calgary Edmonton*
British ColumbiaVancouver
NewfoundlandSt. John's*
Nova ScotiaHalifax*
OntarioLondonNewmarketOttawa Toronto CentralToronto EastToronto West
Quebec Montreal CentralMontreal Suburban
ManitobaWinnipeg*
New BrunswickFredericton*Moncton*Saint John*
IsraelTel Aviv*
LebanonBeirut*
Middle East/AfricaSouth AfricaCape Town*Durban* Johannesburg*Pretoria*
United Arab EmiratesDubai
ArgentinaBuenos Aires
Brazil ManausRio de JaneiroSão Paulo
ChileSantiago*
Colombia Bogota*
Latin America
AustriaVienna*
BelgiumBrussels
BulgariaPleven*Plovdiv*Sofia*
Channel IslandsJersey*
Czech RepublicPrague
DenmarkCopenhagen*
England BirminghamLondon-City London-West EndManchesterThames Valley
FranceLyonParis
GermanyBerlinDusseldorfFrankfurtHamburgMunich
GreeceAthens
HungaryBudapest
Ireland Cork* Dublin*
Italy Bologna Milan Rome
LuxembourgLuxembourg*
MacedoniaSkopje*
The NetherlandsAmsterdam
Northern IrelandBelfast*
NorwayDrammen*Oslo*Stavanger*
PolandWarsaw
PortugalLisbon
RomaniaBucharestTimisoara
Russia Moscow
Scotland Edinburgh Glasgow
Serbia Belgrade*
Slovakia Bratislava
Spain Barcelona Madrid
Sweden Stockholm
SwitzerlandBasel* Geneva* Zurich*
TurkeyIstanbul
Canada
United States
Australia/Asia Pacific
Europe
EcuadorQuito
Mexico Ciudad JuarezGuadalajara*Mexico CityMonterrey
Peru Lima
VenezuelaCaracas
AlabamaBirmingham*MobileArizonaPhoenixTempeTucson*
CaliforniaCarlsbadInland EmpireL.A. L.A. South BayL.A. WestMarin/Sonoma CtyOaklandOrange CountySacramento San Diego - DowntownSan Diego - EastgateSan FranciscoSan JoseWalnut Creek
ColoradoColorado Springs*Denver
ConnecticutHartfordStamford
DelawareWilmington
District of ColumbiaWashington, D.C.
Florida Ft. LauderdaleFt. Myers*JacksonvilleMiami OrlandoPalm Beach Gardens Tampa
GeorgiaAtlanta
Hawaii Honolulu
Illinois Chicago Chicago Suburban
IndianaIndianapolis*
KentuckyLouisville*
MainePortland
MarylandBaltimoreBethesda
MassachusettsBoston
MichiganDetroit*Grand Rapids*Grosse PointKalamazoo*Lansing*Muskegon*
MinnesotaMinneapolisMinneapolis Suburban
MissouriKansas City*St. Louis*
NevadaLas Vegas*Reno
New HampshireManchester
New JerseyEast RutherfordEdisonMorristown
New York Albany*Binghamton*Buffalo*Corning/Elmira*IslandiaIthaca*Kingston*Melville, LIN.Y. Downtown N.Y. MidtownRochester*SyracuseSyracuse*Utica*Watertown*Westchester County
North CarolinaCharlotte*Greensboro/Winston-Salem*Raleigh/CaryRaleigh/Durham*Tarboro*
OhioCincinnati*Cleveland*Columbus*Toledo*
OregonPortland
PennsylvaniaPhiladelphiaPhiladelphia SuburbanPittsburgh*
Puerto RicoSan Juan*
South Carolina Charleston* Greenville/Spartanburg*
Tennessee Memphis*Nashville*
Texas Austin*Dallas HoustonSan Antonio*
Utah Clearfield/Ogden* Park City*Provo/Orem*Salt Lake City*St. George*
VirginiaFredicksburg*McLeanNewport News*Norfolk/Virginia Beach*Richmond*Roanoke*
WashingtonBellevue Seattle
WisconsinMilwaukee*