Q2 2012 | NORTHWEST ATLANTA
ATLANTA
SUBMARKET REPORT
TRENDS & HIGHLIGHTS
Square Feet
NEW SUPPLY, ABSORPTION AND VACANCY RATES 800,000 700,000 600,000 500,000 400,000 300,000 200,000 100,000 0 (100,000) (200,000)
16%
60,956,312
Total SF Vacancy Rate
13.1%
14% 12% 10% 8% 6% 2Q11
3Q11
4Q11
1Q12
2Q12
Deliveries
409,582
YTD Deliveries
0
Under Construction
0
4% 2%
Absorption
YTD Net Absorption
Avg. Warehouse Rate
Vacancy
$3.79 NNN
Source: CoStar Property, Colliers Research
MARKET INDICATORS Projected
Q2 2012
UPDATE Recent Transactions in the Market
Q3 2012
SALES ACTIVITY VACANCY PROPERTY ADDRESS
NET ABSORPTION CONSTRUCTION
—
RENTAL RATE
SALE PRICE
SIZE SF
PRICE / SF
BUYER
Chastain Distr. Ctr.
$18,125,000
357,600
$50.69
Cabot Properties
—
3755 Atlanta Industrial Pky.
$11,300,000
407,981
$27.70
STAG Capital Partners
—
399 Northpoint Pky.
$5,400,000
87,500
$61.71
William Lyons
3675 Kennesaw 75 Pky.
$2,400,000
42,788
$56.09
Parallax Digital Studios
Northwest
LEASING ACTIVITY
www.colliers.com/atlanta
TENANT
PROPERTY ADDRESS
SIZE SF
TYPE
Anderson Inv. Mgmt.
189 Etowah Ind. Ct.
98,000
Warehouse Lease
Brothers Global
1039 Northpoint Pky.
83,000
Warehouse Lease
CSM Fitness
Kennesaw Bus. Ctr.-100
51,168
Distribution Lease
McNICHOLS Co.
Walton Green Comm. Ctr. 6
37,500
Distribution Lease
•
Though weaker than previous quarters, Northwest Atlanta posted its third consecutive industrial occupancy gain in the second quarter. Absorption totaled almost 114,000 SF for the three month period.
•
The submarket’s industrial vacancy rate showed no significant movement between quarters due to the modest amount of space absorbed. Since this time last year, however, the rate is down 1.6%. This amounts to over 1 million square feet of vacant space filled here in the past 12 months.
•
Most of Northwest Atlanta’s activity this year has come from small business growth. This type of growth has dropped off from 2011 levels and will eventually affect future absorption in the submarket.
•
For the remainder of the year, Northwest Atlanta should continue to see positive activity; beyond that remains a question.
MARKET REPORT | Q2 2012 | ATLANTA INDUSTRIAL | NORTHWEST ATLANTA
COLLIERS INTERNATIONAL NORTHWEST ATLANTA INDUSTRIAL LISTINGS
522 offices in 62 countries on 6 continents United States: 147 Canada: 37 Latin America: 19 Asia Pacific: 201 EMEA: 118 •
$1.8 billion in annual revenue
• Over 2.5 billion square feet under
management • Over 12,000 professionals
UNITED STATES: Colliers International Two Midtown Plaza | Suite 1100 1349 West Peachtree Street, NE Atlanta, Georgia, 30309 TEL +1 404 888 9000 FAX +1 404 870 2845
1
4 7
2 COLLIERS INTERNATIONAL ATLANTA INDUSTRIAL SPECIALISTS:
8
Marty Arnold
3 5
Scott Plomgren
Douglas Biggs
Darren Ross
Sean Boswell
Henry Sawyer
Bill Buist
Ryan Sawyer
Lee Cardwell
Mike Spears
Chris Cummings
Rick Vaughn
Ben Logue
Price Weaver
6 FOR LEASE #
PROPERTY
SF AVAIL.
BROKER(S)
1
1965 Vaughn Rd.
11,212-22,257
Bill Buist
2
Northwest Business Center
Availabilities
Lee Evans / Scott O’Halloran
3
Newmarket Business Park
Availabilities
Lee Evans / Scott O’Halloran
4
1285 Field Parkway
9,000-18,000
Lee Cardwell / Ryan Sawyer
5
1990 Delk Industrial Blvd.
6,100
Scott Plomgren / Scott O’Halloran
6
3021 Olympic Industrial Blvd.
13,270
Scott Plomgren
7
850 Pickens Industrial Dr.
11,064-22,128
Scott Plomgren / Scott O’Halloran
8
Commerce Park
5,767-12,533
Scott Plomgren / Scott O’Halloran
This market report is a research document of Colliers International. Information herein has been deemed reliable and no representation is made as to the accuracy thereof. Colliers International-Atlanta, Inc., and certain of its subsidiaries, is an independently owned and operated business and a member firm of Colliers International Property Consultants, an affiliation of independent companies with over 520 offices throughout 62 countries worldwide.
FOR SALE #
PROPERTY
SF AVAIL.
BROKER(S)
4
1285 Field Parkway
18,000
Lee Cardwell / Ryan Sawyer
Accelerating success.
www.colliers.com/atlanta