Who’s On the Move – Week Ending February 6, 2009

squarefeetpdx — Mon, 09 Feb 2009 18:29:16 +0000

OutLook For 2009

source: Pacific Real Estate Partners

Although the vacancy level is only up slightly at 9%, we believe the market is much softer.
Free rent, moving allowances, discounted rent and additional tenant improvement allowances will be the norm in 2009.
Concessions will vary by market. The Sunset Corridor, for instance, is seeing upwards of 12 months of free rent whereas the CBD, Pearl District and Lloyd Center submarkets are giving modest free rent.

For now, the impact on the CBD appears to be less dramatic. With a lack of inventory and relatively strong demand, rates are not backing off by much. Once new inventory is added starting in mid-2010, this could change.

With an eye toward the future, it should be noted that in past recessions, the Portland market didn’t bottom out for two years after the peak. Since we peaked in Q407, based on this historical data, our market should bottom out at the end of 2009, followed by a slow recovery in 2010.

Landlords have, historically, had shorter periods of time (avg. 14-16 months) to raise rates in an escalating market. So, we don’t expect to see rents increasing at any sustained pace until 2011.

MediaDex (traditionsl|digital|research)

Westside

E-Mark Solutions- Nimbus Corp Center, Beaverton | 8,986 SF

DesignDex (A/E|consulting|graphic d)

Westside

PACE Engineers- 5000 Meadows Road | 7,960 SF

TechDex (apps|provider|hardware|var)

Vancouver

Nationwide Security Solutions- Courtside Building | 7200 NE 41st St. | 2,623 SF

Who’s On the Move? – Week Ending 12/12/08

squarefeetpdx — Mon, 15 Dec 2008 20:29:50 +0000

It was another slow week of lease transactions in Portland. The majority of the companies announcing moves fell under the financial services and insurance categories interestingly enough. The largest deals were Paulson Capital, who renewed 17,136 SF at the Paulson Building (811 NW Naito); Premier Source LLC, who leased 13,321 SF at the Spaulding Building (319 SW Washington); and The Government of Japan, who renewed 11,604 SF at Wells Fargo Center (1300 SW Fifth). It will likely slowdown considerably more this week and not pick back up until after the first of the year.

MediaDex (traditional|digital|research)

Central Business District

OnPR Inc. – Morgan Building | 720 SW Washington St. | 1,417 SF

Westside

Madsense – 14705 SW Millikan Way | 2,623 SF | $817,000

DesignDex (A/E|consulting|graphic d)

Central Business District

Staccato Design – Madison Condos | 1140 SW 11th Ave. | 6,193 SF

Paragon Consulting – Unitus Plaza | 1300 SW Sixth Ave. | 2,750 SF

The ft.² Report » beaverton

Who’s On the Move – Week Ending February 6, 2009

Who’s On the Move? – Week Ending 12/12/08