Dot.coms Demise Frees Up 700,000 SF in Austin's Office Market

AUSTIN-Dot.com failures, downsizing and an overall apprehension about a slowing economy has opened up Austin’s commercial real estate market with more than 700,000 sf of office space available to sublet, an insider at NAI Commercial Industrial Properties tells GlobeSt.com.

“Since December, approximately 700,000 sf of sublease space has been made available throughout the Austin market. This is a significant amount,” says Derek Silva of NAI. “However, much of it is in smaller parcels and it is unclear as to how much is due to companies downsizing or closing up shop, postponing expansion plans, like Janus and CSC, or outgrowing their existing space,” says Silva.

Garden.com, drkoop.com, carorder.com, living.com and mall.com are but a few companies that have closed up shop and made space available. Larger high-tech companies such as Globeset with 103,000 sf, Computer Sciences Corp. with 100,000 sf, Janus with 92,000, Vectris with 35,000 sf and Netpliance with 30,000 sf, have recently released or vacated space for sublease, says Silva.