Q3 2011 | NORTHWEST ATLANTA
ATLANTA
SUBMARKET REPORT
TRENDS & HIGHLIGHTS
Square Feet
NEW SUPPLY, ABSORPTION AND VACANCY RATES 800,000
16%
600,000
14%
400,000
12%
200,000
Vacancy Rate
14.6%
YTD Net Absorption
169,450
10%
0
(200,000)
60,605,295
Total SF
3Q10
4Q10
1Q11
2Q11
3Q11
8%
(400,000)
6%
(600,000)
4% 2%
(800,000) Absorption
Deliveries
YTD Deliveries
0
Under Construction
0
Avg. Warehouse Rate
$3.60 NNN
Vacancy
Source: CoStar Property, Colliers Research
MARKET INDICATORS Projected
Q3 2011
UPDATE Recent Transactions in the Market
Q4 2011
SALES ACTIVITY VACANCY NET ABSORPTION CONSTRUCTION
—
RENTAL RATE
PROPERTY ADDRESS
SALE PRICE
SIZE SF
PRICE / SF
BUYER
1169 Canton Rd.
$17,000,000
266,250
$63.85
Cabot Properties
—
100 All Metals Dr.
$6,241,820
131,400
$47.50
CANAM PO LP
—
Vinings Perimeter BP
$5,216,000
75,000
$69.55
Wellstar Health System
1100 Cobb Place Blvd.
$3,800,000
82,800
$45.89
HSI Properties
Northwest
LEASING ACTIVITY
www.colliers.com/atlanta
TENANT
PROPERTY ADDRESS
SIZE SF
TYPE
Aquafil USA
101 Friction Dr.
234,031
Manufacturing Lease
Packard
1925 Shiloh Rd.-Bldg. 2
80,000
Distribution Lease
Tapco
1325 Chastain Rd. Bldg. 200
60,420
Distribution Lease
Smarte Automation
300 Wilbanks Dr.
31,000
Warehouse Lease
•
Northwest Atlanta was one of only two industrial submarkets to have negative absorption in the third quarter. Occupancy dropped by 99,193 SF during this period.
•
Despite the negative quarter, Northwest Atlanta remains positive for the year. In addition, leasing activity from tenants below 100,000 SF remained steady throughout the quarter.
•
The submarket’s industrial vacancy rate has remained relatively unchanged since this time last year. Looking ahead to the near future, this is not expected to change.
•
Although outside of the Atlanta industrial market area, Lowes Companies’ decision to locate a new 1.45 million square foot distribution center in Floyd County should have a positive affect on the northern sections of the Northwest Atlanta submarket.