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The Southwest market posted another strong week with employment news taking center stage, a sign of continued growth in the market. Phoenix—no surprise—continued to be a leader with growth in each asset class. Here’s a look at this week’s trends, announcements and deals that you may have missed in Southern California, Utah, Arizona and Nevada.

BY THE NUMBERS

The Phoenix market posted a strong second quarter across asset classes. The office, industrial, retail and multifamily markets ended the quarter with a decrease in vacancy rates and an increase in rental rates. The office direct vacancy level of 13.28% marks the lowest vacancy recorded since the first quarter in 2008. Submarkets with the least vacant space include North Phoenix/Cave Creek at 5.0%, Tempe at 6.4%, and Mesa Downtown at 6.5%. Industrial vacancy rates hit an all-time low of 7.2%, a notable dip of over 14% from second quarter of last year which posted at 8.4%. The multifamily vacancy rate fell below 6% with average rental rates hitting $1,000 per unit on average. Retail vacancy now hovers just above 6% with rental rates above $15 per square foot.

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Kelsi Maree Borland

Kelsi Maree Borland is a freelance journalist and magazine writer based in Los Angeles, California. For more than 5 years, she has extensively reported on the commercial real estate industry, covering major deals across all commercial asset classes, investment strategy and capital markets trends, market commentary, economic trends and new technologies disrupting and revolutionizing the industry. Her work appears daily on GlobeSt.com and regularly in Real Estate Forum Magazine. As a magazine writer, she covers lifestyle and travel trends. Her work has appeared in Angeleno, Los Angeles Magazine, Travel and Leisure and more.

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