Southwest Washington Real Estate Market Will Remain Healthy in 2001

VANCOUVER, WA-Despite the slowing economy, commercial real estate activity will stay healthy this year in Southwest Washington, according to Norris Beggs & Simpson’s recently released 2000-2001 Clark County Commercial Real Estate Report and Forecast.

In the office market last year, Clark County saw 12 new projects come on line and 305,047 sf of net absorption, which was double that of 1999. Still, it wasn’t enough to take up the slack, and vacancy rates surged to 16.67% at the end of last year from just under 3% in 1999. Rental rates, meanwhile, showed little change, and building owners reported few concessions.

As for 2001, seven pending projects will add nearly 285,000-sf of space to the office market this year, according to the report. Class A rents will stay in the $20 per sf range until tenants soak up more of the supply.