Included in the survey are the market's cities of South Seattle, Tukwila, Renton, Kent, Sea-Tac and Federal Way.
By way of percentages, Kent tops the list at 28.64% Of its 1.33 million sf of office product, 379,875 sf is now vacant. The bad news for landlords here is that 377,534 sf -- nearly all the space -- is direct. The same holds true for Renton, carrying a 15.67% total vacancy rate. Here, only 19,800 sf of the 403,680 total are the result of subleases.
In fact, only 8.3% (97,764 sf) of the South County market's current vacancies is sublease space, leaving 1,174,488 sf of office space burning holes in the financial statements of property owners. In other areas of Puget Sound, while the total vacancy rates are no less dismal, there are much larger portions are sublease space. Many property owners are still receiving income from the original, direct tenants.
Total office inventory in the Southend pencils out at nearly 8.9 million sf. And, according to Colliers, there are an additional 2.24 million sf now planned for the area. However, only four of the 16 projects listed have actual completion dates attached to them, with the remainder yet to be determined. Over the last several months, Puget Sound has seen numerous planned projects placed in mothballs, waiting better days.
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