A story today, in the Seattle Times, reported on vacancies affecting the downtown Seattle and Bellevue office markets. Downtown Seattle has had an 8.3% increase in vacancies, from the same time last year, changing from 12.6% to 14.7% according to a Cushman & Wakefield report.
Downtown Bellevue, while not as dramatic in its vacancies, increased slightly, from 12.1% to 12.7%. The average lease rates are also somewhat lower in Downtown Bellevue, from a year ago. They have dropped $.52 per square foot, now leasing at $38.11 per square foot. In the same time period, downtown Seattle average lease-rates dropped more than $1, coming in at $33.23 per average square foot.
While it’s not great news that leasing is down, causing vacancies to increase, relative to other cities in the nation, as well as even our own neighboring downtown Seattle, we have been able to hold steady throughout this recession.
Office Vacancy Rates
(Blue = Downtown Bellevue, Gray= Downtown Seattle)
Average Office Rates (Avg Sq per year)
(Blue = Downtown Bellevue, Gray= Downtown Seattle)