Phoenix Multi Family Vacancy Rates Remain High, Rents Fall, Concessions at Record Levels.
4th Quarter Trends: West Central Phoenix $563, Central Black Canyon $576, South Paradise Valley $601, Metro Center $630, Glendale $644.
North Scottsdale $903 in 4th quarter of 09 (down from $963 in 08, and $1023 in 07, $1031 in 1st Qtr 07, the highest recorded in Metro Phoenix).
Rates have dropped on average in Metro Phoenix $19 from the 4th quarter of 2008, vacancies are slightly down. Concessions are at their highest since 2003.
North Scottsdale and Fountain Hills have the lowest vacancy rates of the 30 submarkets in the Valley at 6.7%. The west central had the highest at 24.5%.
Over all the vacancies are around 15% valley wide.
The highest concessions were non surprisingly in the same area as the highest vacancy areas. 97.6% of all West Valley properties were offering concessions of some type.
Outstanding questions remain: When will employment pick up? What will the outcome of the new implemented immigration law in Arizona have?
There is still uncertainty in financial markets and uncertainty in employment numbers.
If you have any questions about the Phoenix Commercial Real Estate market feel free to call me at (602) 692-4288.
Marc Brodeur BS, DC
Commercial Realtor
Marc@PhoenixCommercialRealEstate.com
Direct (602) 692-4288
www.PhoenixCommercialRealEstate.com
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{ 1 comment… read it below or add one }
Times are certainly rough, but if you can afford to make the payments now can be an excellent time to buy. Ive been able to afford a new home due to the low, low prices and the great interest rates right now. So its not all bad i guess. Here’s hopin things pick up!