Commercial Real Estate Is Swinging

Central Arizona's commercial real estate market finished 2005 on all cylinders.

Lease rates are up, vacancy rates are down, and the experts see this continuing through 2006.

But analysts are worried about the rising costs of construction materials, a shortage of skilled labor in the construction industry, the rising cost of land and the logjam of construction plans backing up city planning departments.

The article reports that Industrial vacancy rates are down to 9.5 percent, with the West Valley seeing most of the new industrial demand.

Retail had a vacancy factor of 5.4 percent, and many new large retail projects are on the books, including Westgate City Center, Tempe Marketplace and Westcor's Prasada project along the Loop 303. More...

Retail always follows the residential rooftops!