AUSTIN, TX—Record-setting office market performance and the increasing adoption of co-working spaces are just two of the six trends transforming Austin into an 18-hour city. During the past decade, Austin has evolved from “college town” status into a dynamic metro with a dense urban core.
“An urban renaissance is happening in Austin, a city once almost exclusively driven by the public sector. The new era of technology is supporting job and population growth, real estate development and sector diversity, along with a wealth of homegrown retailers that are elevating Austin's brand outside the city limits,” says Robert Kramp, director of research and analysis, CBRE.
In its new report, CBRE identifies key trends helping the Texas capital join the ranks of America's major cities.
Office: Due to robust employment growth, Austin's office market is setting record highs in absorption and rents, while reaching new post-recession vacancy lows.
Co-working: This type of space has emerged as a desirable office type in Austin with nearly two dozen now in operation and a half dozen coming to market this year alone.
Industrial: This market has seen falling vacancies and escalating asking rents in recent years, yet has not experienced an industrial development boom. There are indications industrial development could change soon.
Patents: Austin is a metropolitan leader in patent production, earning nearly 20 times as many patents as the US national average since 2000.
Multifamily: The city's ever-strengthening workforce and the influx of millennials willing to pay for access to the central city's cultural offerings has changed the face of multifamily, which has added 5,824 multifamily units to its urban core since the beginning of 2015.
Life sciences: This industry is quickly imbedding itself in Austin's tech DNA. The top 10 life sciences employers in Austin occupy 1.1 million square feet of office, flex and manufacturing space.
Kramp tells GlobeSt.com: “A significant number of corporate relocations and expansions in Austin stem from the tech sector—e-commerce, cloud computing, software, media and biotech are the leading industries. Companies are attracted to Austin because it offers a deep pool of educated and young professional talent, a cost-effective work environment, and pro-business public-private policy leadership that makes expansion and relocation easy to do—and do quickly.”
Austin development is abundant. What are the active markets? Who are the key players? Join us at RealShare Austin for market intelligence and the best networking in the biz.
AUSTIN, TX—Record-setting office market performance and the increasing adoption of co-working spaces are just two of the six trends transforming Austin into an 18-hour city. During the past decade, Austin has evolved from “college town” status into a dynamic metro with a dense urban core.
“An urban renaissance is happening in Austin, a city once almost exclusively driven by the public sector. The new era of technology is supporting job and population growth, real estate development and sector diversity, along with a wealth of homegrown retailers that are elevating Austin's brand outside the city limits,” says Robert Kramp, director of research and analysis, CBRE.
In its new report, CBRE identifies key trends helping the Texas capital join the ranks of America's major cities.
Office: Due to robust employment growth, Austin's office market is setting record highs in absorption and rents, while reaching new post-recession vacancy lows.
Co-working: This type of space has emerged as a desirable office type in Austin with nearly two dozen now in operation and a half dozen coming to market this year alone.
Industrial: This market has seen falling vacancies and escalating asking rents in recent years, yet has not experienced an industrial development boom. There are indications industrial development could change soon.
Patents: Austin is a metropolitan leader in patent production, earning nearly 20 times as many patents as the US national average since 2000.
Multifamily: The city's ever-strengthening workforce and the influx of millennials willing to pay for access to the central city's cultural offerings has changed the face of multifamily, which has added 5,824 multifamily units to its urban core since the beginning of 2015.
Life sciences: This industry is quickly imbedding itself in Austin's tech DNA. The top 10 life sciences employers in Austin occupy 1.1 million square feet of office, flex and manufacturing space.
Kramp tells GlobeSt.com: “A significant number of corporate relocations and expansions in Austin stem from the tech sector—e-commerce, cloud computing, software, media and biotech are the leading industries. Companies are attracted to Austin because it offers a deep pool of educated and young professional talent, a cost-effective work environment, and pro-business public-private policy leadership that makes expansion and relocation easy to do—and do quickly.”
Austin development is abundant. What are the active markets? Who are the key players? Join us at RealShare Austin for market intelligence and the best networking in the biz.
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Lisa Brown
Lisa Brown is an editor for the south and west regions of GlobeSt.com. She has 25-plus years of real estate experience, with a regional PR role at Grubb & Ellis and a national communications position at MMI. Brown also spent 10 years as executive director at NAIOP San Francisco Bay Area chapter, where she led the organization to achieving its first national award honors and recognition on Capitol Hill. She has written extensively on commercial real estate topics and edited numerous pieces on the subject.
