The Irvine-based investment real estate brokerage ranked the top 10 buyers and sellers markets for office, industrial and apartment properties in a recent series of studies, basing the ratings on yield, price per sf, job growth and other factors.

In determining the rankings, Sperry Van Ness executives analyzed median cap rates and price per sf of a representative sample of all closed transactions during the first six months of 2003. The analysis also factored in employment growth in the survey of 887 transactions totaling over $9.5 billion 40 markets.

John McDermott, national director of office and industrial properties for Sperry Van Ness, explains that Riverside obtained its ranking on the basis of higher yield and lower cost per sf than the markets which ranked lower in the study. For example, McDermott says, by selling an Orange County office property generating an 8.75% yield and costing $122.55 per sf and buying an office property in Riverside at a 9.3% yield at a cost of $94.70 per sf, a buyer could substantially increase the return the investment and acquire a much larger property. Tampa and Atlanta edged out Riverside as the No. 1 and No. 2 office buyers markets in the country.

The same Sperry study ranked sellers markets, a category in which Riverside did not make the top 10. But Orange County ranked 10th among sellers markets by generating returns of 8.75% and commanding $122.55 per sf on average for office space. Los Angeles County earned a No. 6 spot as a sellers market, generating yields of 8.83% and commanding $136.82 per sf on average for office property. New York City led the list of sellers markets.

In its rankings of industrial markets, Sperry Van Ness found that Los Angeles and Orange County ranked fifth and sixth respectively as sellers markets, with Riverside holding the No. 9 spot as a buyers market. In the multifamily study, none of the local markets ranked among the top 10 as a buyers market, but Los Angeles held down the fourth spot and Orange County ranked sixth among sellers markets.