Q2 2010 | NORTHEAST ATLANTA
ATLANTA
SUBMARKET REPORT
TRENDS & HIGHLIGHTS NEW SUPPLY, ABSORPTION AND VACANCY RATES 1,500,000
15%
1,000,000
14%
500,000
13%
0 (500,000)
12% 2Q09
3Q09
4Q09
1Q10
2Q10
11%
(1,000,000)
10%
(1,500,000)
9%
(2,000,000)
8% Absorption
Deliveries
170,858,950
Total SF Vacancy Rate
13.6%
YTD Net Absorption
(502,063) 0
YTD Deliveries Under Construction
482,000
Avg. Warehouse Rate
$2.81
Source: CoStar Property
Vacancy
MARKET INDICATORS Q2 2010
NEXT QTR
UPDATE Recent Transactions in the Market SALES ACTIVITY
VACANCY NET ABSORPTION CONSTRUCTION RENTAL RATE
—
PROPERTY ADDRESS
SALE PRICE
SIZE SF
PRICE / SF
BUYER
1090 Broadway Ave.
$35,000,000
807,990
$43.32
High Street Equity Adv.
—
410 Horizon Dr.
$9,400,000
247,530
$37.98
Shimadzu Scientific
—
1665 Heraeus Blvd.
$4,339,140
111,260
$39.00
RV Industries
Buford Hwy. Distr. Ctr.
$4,050,000
96,160
$42.12
Cabot Properties
Northeast
LEASING ACTIVITY
www.colliers.com/atlanta
TENANT
PROPERTY ADDRESS
SIZE SF
TYPE
United Stationers
125 Horizon Dr.
600,000
Distribution Renewal
Systemax
Jefferson Mill Bus. Park-A
459,134
Warehouse Lease
Kia Motors
Newpoint DC-Bldg. 3
451,200
Warehouse Renewal
Lund International
655 Raco Dr.
219,000
Warehouse Renewal
•
Northeast Atlanta’s second quarter industrial absorption was second highest in the Atlanta market. The 917,000 SF of space absorbed in the submarket was the highest amount since the first quarter of 2008.
•
As a result of the positive absorption, Northeast’s industrial vacancy rate dropped 0.6% from first quarter. Compared to this time last year, however, the rate is up 0.4%, which amounts to almost 780,000 SF of added vacant space.
•
Safelite, Systemax and Dayton Superior were the largest move-ins of second quarter in Northeast Atlanta. Together these companies combined for one million square feet of increased occupancy.
•
Industrial leasing in Northeast Atlanta is expected to remain strong through the remainder of the year..