The Philadelphia Office market ended the first quarter of 2017 with a vacancy rate of 8.7%.
The vacancy rate was down from the previous quarter, with net absorption totaling positive 173,096 square feet in the first quarter in the commercial real estate market – including Philly office space, Philly retail space and Philly industrial space. That compares to positive 1,080,044 square feet in the fourth quarter 2016. Vacant sublease space increased in the quarter, ending the quarter at 1,112,547 square feet.
This CoStar report on Philadelphia commercial properties is being offered through Philadelphia commercial real estate broker Wolf Commercial Real Estate, a Philadelphia commercial real estate brokerage firm.
The Class-A office market consisting of Philadelphia commercial real estate properties recorded net absorption of negative 588,125 square feet in the first quarter 2017, while net absorption for the city’s central business district was negative 4,710 square feet.
Tenants moving into large blocks of space in throughout the Philadelphia commercial real estate markets so far in 2017 include: Ashfield Healthcare moving into 82,000 square feet at 1100 Virginia Dr; WeWork moving into 55,238 square feet at 1900 Market Street; and Holy Redeemer Health System moving into 36,000 square feet at 201 Veterans Way.
Rental rates among Philadelphia commercial real estate listings ended the first quarter at $22.68, an increase over the previous quarter.
A total of six buildings delivered in the quarter to the commercial real estate market – including Philly office space, Philly retail space and Philly industrial space –totaled 214,556 square feet, with 4,398,979 square feet still under construction at the end of the quarter.
This trend among Philadelphia commercial real estate listings is compared to the U.S. National Office vacancy rate, which stayed at 9.7%, relatively unchanged from the previous quarter, with net absorption positive 10.78 million square feet in the first quarter. Average rental rates increased to $24.44, and 339 office buildings delivered this quarter totaling more than 21.29 million square feet, with 154.4 million square feet still under construction.
For more information about Philly office space, Philly retail space and Philly industrial space or other Philadelphia commercial properties, please call 215-799-6900 to speak with Jason Wolf (jason.wolf@wolfcre.com) or Andrew Maristch (drew.maristch@wolfcre.com) at Wolf Commercial Real Estate, a leading Philadelphia commercial real estate broker that specializes in Philly office space, Philly retail space and Philly industrial space.
Wolf Commercial Real Estate is a Philadelphia commercial real estate brokerage firm that provides a full range of Philadelphia commercial real estate listings and services, marketing commercial offices, medical properties, industrial properties, land properties, retail buildings and other Philadelphia commercial properties for buyers, tenants, investors and sellers.
Wolf Commercial Real Estate, a Philadelphia commercial real estate broker with expertise in Philadelphia commercial real estate listings, provides unparalleled expertise in matching companies and individuals seeking new Philly office space, Philly retail space or Philly industrial space with the Philadelphia commercial properties that best meets their needs.
As experts in Philadelphia commercial real estate listings and services, the team at our Philadelphia commercial real estate brokerage firm provides ongoing detailed information about Philadelphia commercial properties to our clients and prospects to help them achieve their real estate goals. If you are looking for Philly office space, Philly retail space or Philly industrial space for sale or lease, Wolf Commercial Real Estate is the Philadelphia commercial real estate broker you need — a strategic partner who is fully invested in your long-term growth and success.
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