LAS VEGAS-According to Area Development Online,30% of the US commercial andindustrial space lies vacant, and some corporateusers report that the cost to maintain that fallow space approaches$15 million annually.
Last year the Society of Industrial & OfficeRealtors and the Industrial Asset ManagementCouncil joined forces in a groundbreaking study on there-use of that space, and found much untapped return potential. Theresults of that survey, ofmore than 60 corporate real estate executives in global firms, wasthe focus of a major event at SIOR's Spring World Conferencehere.
The study revealed that 70% of respondents held assets on thebooks that were 11 years old at least. “The lease value of some ofthose assets drops 77 cents per square foot per year,” statedKevin McGowan of McGowan Corporate RealEstate Advisors, one of the SIOR project team members.
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John Salustri
John Salustri has covered the commercial real estate industry for nearly 25 years. He was the founding editor of GlobeSt.com, and is a four-time recipient of the Excellence in Journalism award from the National Association of Real Estate Editors.
