Investors continue to be attracted to Atlanta, due in part tothe area's continued economic expansion, evidenced by theanticipated job growth in nearly every sector, according to a thirdquarter retail research report by Marcus & Millichap RealEstate Investment Services.


According to a Colliers Spectrum Cauble fall retail marketreport, Atlanta had experienced $2.41 billion in shopping centersales year-to-date. This compares with a total of $1.26 billion insales for 2006. In 2007, the average price per sf for the sales was$140 and the average median cap rate was 6.6%. This compares withan average price of $154 per sf and median cap rate of 7.34% in2006.


"The investment outlook for Atlanta retail properties ispositive, providing investors with healthy initial yields andprospects for long-term future revenue growth," says Marcus &Millichap Atlanta office regional manager John Leonard.


Among other findings in the Marcus & Millichap reportinclude that job growth is expected to exceed last year's pace of1.9% with local employers forecast to add 42,000 jobs by year end,reflecting an increase of 1.7%. Builders are expected to deliver5.2 million sf by the end of 2007 and vacancy is forecasted to be8.2%. Asking rents are expected to rise 3.6% by the end of the yearto $17.86 per sf, while effective rents are forecast to gain 3.5%to $16.10 per sf.

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