Service Center Leasing Takes Off

ORLANDO-A strong indicator that the area’s lukewarm office and flex-space leasing market is improving is documented in final figures produced this week by Rebman Properties Inc., a Maitland, FL-based commercial brokerage that has been monitoring the market since 1986.

The south service center market posted net absorption of 221,593 sf in the fourth quarter, doubling the volume of the first three quarters combined, winding up with a final 2003 vacancy mark of 13.19%, lowest in the last three years. Total net absorption was 331,709 sf, also doubling Rebman’s earlier-in-the-year projection of 150,000 sf.

“Over one million sf of service center/flex space lay dormant until the fourth quarter when pent-up demand broke loose and we experienced a record absorption,” says Lyle N. Nelsen, a corporate and industrial real estate specialist at Rebman Properties. “The year 2003 was a difficult year in the leasing market (as) the economy struggled in the first three quarters and tenants remained cautious.”