Q1 2012 | NORTHEAST ATLANTA
ATLANTA
SUBMARKET REPORT
TRENDS & HIGHLIGHTS
Square Feet
NEW SUPPLY, ABSORPTION AND VACANCY RATES 800,000
16%
700,000
15%
600,000
14%
500,000
13%
400,000
12%
300,000
11%
200,000
10%
100,000
9% 8%
0 1Q11
2Q11 Absorption
3Q11
4Q11
Deliveries
169,747,243
Total SF Vacancy Rate
14.1%
YTD Net Absorption
291,169
YTD Deliveries
27,500 763,657
Under Construction Avg. Warehouse Rate
1Q12
$3.47 NNN
Source: CoStar Property, Colliers Research
Vacancy
MARKET INDICATORS Projected
Q1 2012
UPDATE Recent Transactions in the Market
Q2 2012
SALES ACTIVITY VACANCY PROPERTY ADDRESS
NET ABSORPTION CONSTRUCTION RENTAL RATE
—
SALE PRICE
SIZE SF
PRICE / SF
BUYER
Brickton Ind. Park I-IV
$11,500,000
257,376
$44.68
Cobalt Industrial REIT
1680-1700 Executive Dr.
$10,281,396
201,596
$51.00
Cabot Industrial Prop.
Northmont Atlanta - 600
$9,325,000
157,820
$59.29
Dividend Capital
2775 Northwoods Pkwy.
$5,300,000
32,192
$164.64
Carter Validus REIT
Northeast
LEASING ACTIVITY
www.colliers.com/atlanta
TENANT
PROPERTY ADDRESS
SIZE SF
TYPE
Carter’s Inc.
Park 85 at Braselton
1,061,663
Distribution Lease
Toyota Industries
Jackson County Parcel
598,980
New Manufacturing Plant
Echosphere
215 Satellite Blvd.
95,538
Warehouse Renewal
Georgia Expo
3355 Martins Farm Rd.
86,031
Warehouse Lease
•
Northeast Atlanta began the year with the second highest amount of industrial space absorbed in the Atlanta market. Occupancy increased by almost 300,000 square feet in the first quarter. This was the sixth consecutive quarter of positive absorption for the submarket.
•
First quarter’s move-in activity came mostly from small industrial users. The largest move-in of the quarter was IMS Gear which occupied 95,318 SF. The increase of small business activity in Northeast Atlanta is a welcomed sign of improving market conditions.
•
When it comes to buzz in the market, Northeast Atlanta is getting the most. A lot of synergy is taking place in Atlanta’s largest industrial submarket. Recent large-sized transactions by Carter’s, Toyota Industries and Caterpillar are expected to provide new jobs and much needed growth to the area.