Approximately 1.3 million square feet of the Springfield area’s 30.4 million square feet of industrial space is vacant, according to the third-quarter Market Trends report by Xceligent Inc.
The commercial real estate tracking company collected data on the Springfield area, including Nixa, Ozark, Strafford, Republic, Rogersville and Willard, and discovered a 4.3 percent industrial vacancy rate for the period – up from 4 percent in the second-quarter.
“Overall, there is a significant amount of space available,” said Ross Murray, R.B. Murray Co. vice president, noting that there was some commercial real estate movement in October. “As the economy slowly starts to improve, the goods and services are starting to be produced and the financing slowly starts to get back to the normal practices, it has kind of helped a little bit of that space become absorbed.”
Rogersville led the area with 39.7 percent, or 17,521 square feet, of its industrial space vacant, while the city of Springfield’s overall industrial vacancy rate for the third quarter was 3.26 percent, or 780,972 square feet. Southeast Springfield had the lowest rate, 1.6 percent, or 16,700 square feet, the report said, noting the central business district as the highest rate, 5.5 percent.
“On the industrial side, we’ve sold a couple really large buildings to (Springfield ReManufacturing Corp.) and they’ve consolidated and expanded,” Murray said. “That’s a perfect example of a local company that decided it was time to make a change and throw their hat in the ring and grow.”
Retail vacancies nearly flat The overall third-quarter vacancy rate for retail space is 5.7 percent, or 867,903 square feet, in the Springfield area. The second-quarter retail vacancy rate reported by Xceligent was 5.6 percent.
The market with the highest retail vacancy rate is Strafford, at 15.4 percent or 10,000 square feet, while southeast Springfield had the lowest vacancy rate at 3 percent, or 185,732 square feet.
Springfield’s third-quarter retail vacancy rate is 5.9 percent, or 616,618 square feet. The highest rates were in the southwest, at 8.3 percent, and the northwest, at 7.6 percent. The southeast had the fewest square feet available at 3 percent vacant.
The retail properties in Springfield’s commercial business district were excluded from the Xceligent report, due to square footage corrections, the report said.
Office vacancies jump The Springfield area’s third-quarter office vacancy rate was 8.9 percent on 525,023 available square feet, up from 8.3 percent in the second quarter.
Among the three classes of office space, the pricier Class A recorded the greatest vacancy rate at 10.2 percent, with 212,921 vacant square feet. The rate improves with Class B, at 8.5 percent on 224,179 vacant square feet and with Class C, at 7.3 percent on 87,923 vacant square feet.
The market in Nixa recorded the highest vacancy rate at 27.3 percent, or 25,358 square feet. No other office vacancies were recorded in the report.
Springfield’s office vacancy rate was 6.18 percent, or 464,105 square feet. In the southeast, 292,044 square feet was available, representing 11.3 percent, the highest rate in the city. The commercial business district in central Springfield recorded a 9.9 percent vacancy rate on 99,960 square feet available. The lowest rates were in the north – 2.1 percent in the northwest and 2.3 percent in the northeast.[[In-content Ad]]
