Industrial and Office Markets Looking Up

WASHINGTON, DC-The Society of Industrial and Office Realtors has released its annual Comparative Statistics report, and the news is good, for the most part. Both markets are expected to see improvements in 2004. The industrial market saw vacancy rates stabilize at a national average of 10.2% last year, a number that is likely to decrease during this year into the single digit numbers.

Things are looking good, but not quite as good, for the office property industry. The national vacancy rate went up by 1.1% in 2003 from the previous year. The situation is on target to improve later this year, but not before certain office markets suffer further blows. Only a handful of markets, including the Washington, DC office market, have managed to stay above water over the last couple of years. “The office market has stabilized and should improve towards the end of 2004, if the current rate of economic recovery continues,” says SIOR president David T. Houston. “Office markets typically follow industrial markets.”