ATLANTA—In the last five years, Atlanta has added more than 157,000 new residents and well over 200,000 new jobs, thanks to a combination of organic growth and company relocations. That's according to CBRE's latest research.

“Commercial real estate has benefited—office buildings have less vacant space, rents are rising and investors see opportunity in Atlanta,” Dan Wagner, CBRE southeast research manager, tells GlobeSt.com. “The growth feels real—and is quantifiable.”

Wagner points to occupancies and pricing across most product types rising. Even single-family home prices, which languished post-recession, are up 11% in Atlanta over the last year alone.

“While the growth benefits owners and investors of commercial real estate, tenants are on the other side of the equation,” Wagner says. “The costs of real estate, wages and business services continue their upward climb and can have a significant bottom-line impact on operations.”

Class A occupiers nearing the end of their lease term in Buckhead, for example, are faced with rates which are, on average, 20% higher than they were in 2010. But, he says, the increases should be placed in context.

“The broader class A Atlanta market average rate increase since 2010 is closer to 10%,” Wagner says. “What's more, when compared to its peers that comprise the top 10 largest office markets in the US, Atlanta is by far the lowest cost.”

What's more, he says, the recent rate of class A rental increases in CBD markets in Dallas, Manhattan, and San Francisco span anywhere between 33% and 110%. A class A tenant in Downtown San Francisco that signed a lease for $43 per square foot in 2010 could be faced with a whopping $71 renewal rate today.

“Finally, per capita income in Atlanta is 8% lower than the national average and less than half of San Francisco's $86,000, providing for a significantly lower labor cost for new and expanding businesses,” Wagner says. “Location decisions are often driven by the availability and cost of educated labor and office space. Even though these costs have increased in recent years, Atlanta's talent pool and office stock remain deep and a significant value.”