Q3 2010 | NORTHWEST ATLANTA
ATLANTA
SUBMARKET REPORT
TRENDS & HIGHLIGHTS
Square Feet
NEW SUPPLY, ABSORPTION AND VACANCY RATES 800,000
18%
600,000
16% 14%
400,000
Vacancy Rate
14%
YTD Net Absorption
921,794
12%
200,000
10% 0
(200,000)
57,187,779
Total SF
18,750
YTD Deliveries
8% 3Q09
4Q09
1Q10
2Q10
3Q10
6%
(400,000)
4%
(600,000)
2% Absorption
Deliveries
0
Under Construction Avg. Warehouse Rate
$3.51 NNN
Source: CoStar Property
Vacancy
MARKET INDICATORS Q3 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
1940 W. Oak Cir.
$6,750,000
215,962
$31.26
Roark Capital
—
800 Martin L. King Dr.
$4,350,000
57,500
$75.65
The Alpert Group
—
1100 Cobb Intl. Blvd.
$2,700,000
45,661
$59.13
Systems Atlanta
1039 Northpoint Dr.
$2,585,000
210,778
$12.26
MDH Partners
Northwest
LEASING ACTIVITY
www.colliers.com/atlanta
TENANT
PROPERTY ADDRESS
SIZE SF
TYPE
Recycletronics
7000 Cobb International
150,724
Warehouse Lease
R&L Carriers
1892 Airport Ind. Blvd.
50,690
Distribution Lease
Caudelle Interior Installations
2990 Olympic Ind. Dr.
39,600
Warehouse Lease
Wolff System Technologies
980 Cobb Place Blvd.-200
26,000
Warehouse Lease
•
Northwest Atlanta absorbed the second highest amount of industrial space in the Atlanta market in third quarter. The submarket’s largest move-ins this quarter were Recycletronics which moved into 15.0724 SF of warehouse space and Applied Thermoplastics which moved into 76,960 SF of manufacturing space.
•
The industrial vacancy rate in Northwest Atlanta has consistently declined over the past year; the only submarket to do so. Since this time last year, the rate has dropped 2.5%, amounting to just over 1.4 million sq. ft. of vacant space filled during this time.
•
Northwest Atlanta has weathered 2010 much better than other industrial submarkets, though a slowdown in leasing activity as of late will keep the submarket more stabilized heading into the new year.