Colliers Cautiously Optimistic Wading Into 2013
San Jose, CA – Silicon Valley’s commercial real estate sector maintained steady absorption activity in the fourth quarter with over 5.0 million square feet of office, R&D, industrial and warehouse transactions measured during the period. Although it was 2012’s lowest quarterly gross absorption, all four quarters consistently produced over 5.0 million square feet of new leases and user sales, totaling 22.2 million square feet for the year. Office and R&D buildings represented the lion’s share of the activity with over 16.3 million square feet of activity for 2012.
Overall for the year, the change in total occupied space (net absorption) increased 2.4 million square feet. In addition, approximately 3.0 million square feet of deals have been completed at projects that are under construction or waiting to be built.
Jeff Fredericks, SIOR, managing partner of Colliers’ Silicon Valley office, commented, “Our region remains one of the country’s bright spots and it was a good year for the commercial real estate market overall.”
Colliers International’s full market report will be released at Trends2013, its annual commercial real estate forecast, scheduled for February 13.
About Colliers International
Colliers International is the third-largest commercial real estate services company in the world, with over 12,300 professionals operating out of more than 520 offices in 62 countries. Colliers International focuses on accelerating success for its clients by seamlessly providing a full range of services to real estate users, owners and investors worldwide, including global corporate solutions, brokerage, property and asset management, hotel investment sales and consulting, valuation, consulting and appraisal services, mortgage banking and research. Commercial Property Executive magazine ranked Colliers International the top U.S. real estate company. The latest annual survey by the Lipsey Company ranked Colliers International as the second-most recognized commercial real estate firm in the world.