3rd Quarter Office Market Report Update for Greater Reading

Suburban overview

The greater Reading suburban office market ended the second quarter of 2015 with a vacancy rate for Class A, or highest quality, office buildings at 10.93 percent, which includes existing and proposed sites. The vacancy rate for only existing Class A office buildings is 4.57 percent.

This is a decrease in vacancy rates from the end of first quarter this year and a decrease from the same period in 2014, which was at 13.55 percent. The average rental rates      remained unchanged at $17.50 to $22.50 per square foot modified gross (in which the tenant pays the base rent and the landlord covers all costs relating to property + operations), which is a decrease in the rates from the same period of 2014.

The Class B suburban office market ended the first quarter with a vacancy rate of 18.40 percent for existing and proposed sites. The vacancy rate for only existing Class B  Office buildings is 16.19 percent. This is a slight increase in vacancy rates from the end of the first quarter 2015, and it is a decrease from the same period in 2014. The average  rental rates remained unchanged at $12.50 to $15.50 per square foot modified gross from the end of the first quarter 2015 to the end of the second quarter of 2015. That is a  larger decrease from the same period in 2014, when average rental rates were $12.50 to $17.50 per square foot.

The Class C suburban office market ended the second quarter of 2015 with a vacancy rate of 13.97 percent, which is a slight decrease from the same period in 2014 and the  previous quarter.

The outlook for the office market sector going into the third quarter of 2015 is very optimistic, because of the high level of continued interest in the marketplace. Various deals that are finalized were completed in the beginning of the third quarter, including an 18,000-square-foot lease on Berkshire Boulevard, which could help third quarter numbers.

The opinions in the next two paragraphs are from the first quarter of 2015 and remain unchanged:

Cap rates for investment-grade office buildings remain low because of attractive financing. The most important variables are length of leases, credit of tenant(s), type of lease and type of asset (such as single tenant, multi-tenant, medical or back office).Overall activity continues to come from within the local marketplace. The majority of the transactions taking place are companies that already call greater Reading home.

However, most of these deals have resulted in larger footprints and longer commitments.

 

Downtown overview

The greater Reading downtown office market ended the second quarter of 2015 with a vacancy rate for Class A office buildings at 22.63 percent. It was a slight decrease in rates from the end of the first quarter of 2015. The average rental rates remained unchanged from the first quarter of 2015 through the second quarter of 2015 at $11 per square foot modified gross to $14.50 per square foot modified gross.

The reason for the slight decrease in vacancy rates is because of the new location of a 11,000-square-foot tenant at 501 Washington St. and expansion of various tenants throughout the marketplace. The Class A market noticed a benefit of the expansion of the large lease completed in the first quarter of 2015. However, Class B space is feeling the effect into the second quarter of 2015 because of the large vacancy that was created by the move.

The Class B downtown office market ended the second quarter of 2015 with a vacancy rate of 23.10 percent. This was an increase in vacancy rates from the end of first quarter 2015, and it was a smaller increase from the same period in 2014. The average rental rates remained unchanged at $7.50 per square foot modified gross at the end of the second quarter to $11 per square foot modified gross. This is similar to the rates from the same period in 2014. Overall vacancy rates for Class C buildings remained unchanged at 23.62 percent.

 

Bryan Cole is the real estate office and medical specialist of NAI Keystone Commercial and Industrial LLC. The website is www.Bryan-Cole.com. – See more at: http://readingeagle.com/business-weekly/article/office-space-vacancy-rates-decrease-from-1st-quarter-and-from-second-quarter-of-2014#sthash.Aq2nFSP1.dpuf

Cole and Willems of NAI Keystone Receives SIOR Designation

Bryan Cole and Steve Willems of NAI Keystone Commercial & Industrial, LLC have received the SIOR designation.

 

The designation includesSIOR Logo the leading professionals within office and industrial real estate brokerage and represents today’s most knowledgeable, experienced, and successful commercial real estate brokerage specialists in the world.

 

There are strict guidelines to obtain the designation including Education, Experience, and High Levels of Income.  There are 2,800 brokers worldwide who have met the stringent qualifications to earn the SIOR designation.

 

And one of the most important aspect is, providing exceptional service with an emphasis on ethics.

 

About SIOR:

Thee SOCIETY OF INDUSTRIAL AND OFFICE REALTORS® is the leading professional commercial and industrial real estate association. With more than 3,000 members in more than 630 cities in 34 countries, SIOR represents today’s most knowledgeable, experienced, and successful commercial real estate brokerage specialists.

SIOR has certified thousands of members with the prestigious SIOR designation, a professional symbol of the highest level of knowledge, production, and ethics in the real estate industry. Real estate professionals who have earned the SIOR designation are recognized by corporate real estate executives, commercial real estate brokers, agents, lenders, and other real estate professionals as the most capable and experienced brokerage practitioners in any market. SIOR designees can hold the following specialty designations: industrial, office, sales manager, executive manager, or advisory service.

SIOR also consists of associate members who include corporate executives, developers, educators, and others involved in the commercial real estate industry.

A professional affiliate of the NATIONAL ASSOCIATION OF REALTORS®, SIOR is dedicated to the practice and maintenance of the highest professional and ethical standards. SIOR maintains a commitment to business and industry by providing outstanding professional services, publications, and educational programs.

Transaction Data shows the success of SIOR members:
On average from 2008-2012 SIOR members reported that he or she leased or sold an average of 1 million square feet of space for a total dollar volume of $31 million in 30 transactions.

As a group, SIOR designees closed more than 78,000 transactions.

SIOR maintains and promotes a professional designation of the highest quality for the benefit of its members and their clients. The SIOR designation stands unchallenged for excellence in the performance of real estate services, and is universally recognized as the prerequisite in the selection of a commercial real estate broker, agent, or consultant.

– See more at: http://www.sior.com/about/sior-overview#sthash.nJpVtErv.dpuf

 

 

Don’t forget to visit www.Bryan-Cole.com or my clients/members site atwww.NAIKeystoneMembers.com

Bryan Cole, SIOR | Sr. Associate

Bcole@naikeystone.com

NAI Keystone Commercial & Industrial, LLC

3970 Perkiomen Ave, Suite 200 Reading, PA 19606

www.Bryan-Cole.com or www.WyomissingOfficeSpace.com

Direct +1 610 370 8502 |Main +1 610 779 1400 | Fax +1 610 779 1985

Blog | LinkedIn  | Twitter  | Main Website | Office Space Site

New 5,045 SF. Single Story Office Building for Lease in Wyomissing

NAI Keystone’s Bryan Cole and Steve Willems have been retained to exclusively handle the leasing of 30 Commerce Drive, Wyomissing PA 19610

30 Commerce Drive is a single story free office building with approximately 5,045 usf. The building has a common vestibule, where the restrooms are currently located.

The building was previously occupied by National Penn Bank prior to their consolidation.

The suite is in very good condition, with higher end finishes. The suite currently has outer parameter offices, conference rooms, and interior bullpen type space.

Ideally suited for a variety of uses, including but not limited to Legal, Financial, or Medical.

30 Commerce Drive is situated in the Spring Ridge area of Berks County. The building is located within Spring Twp., and enjoys easy access to Rt. 422 and Rt. 222.

The buildings sits along Commerce Drive which is just off Broadcasting Road.

For More Information visit the link below.

Brochure Front

 

 

 

 

 

 

 

 

 

Don’t forget to visit www.Bryan-Cole.com or my clients/members site atwww.NAIKeystoneMembers.com

 

Bryan Cole, SIOR | Sr. Associate

Bcole@naikeystone.com

NAI Keystone Commercial & Industrial, LLC

3970 Perkiomen Ave, Suite 200 Reading, PA 19606

www.Bryan-Cole.com or www.WyomissingOfficeSpace.com

Direct +1 610 370 8502 |Main +1 610 779 1400 | Fax +1 610 779 1985

Blog | LinkedIn  | Twitter | Facebook  Main Website | Office Space Site

New 40,804 SF. Warehouse for Sale or Lease – Can expand to 80,000 SF.

NAI Keystone’s Bryan Cole and Steve Willems have been retained to exclusively handle the sale or lease of 130 Redner Way in Ontelaunee Township.

The property is a 40,804 sf. Flex Warehouse with room to expand an additional 40,000 sf. The building was built-in 2003 and original planned for 80,000 sf.

The site is 9.80 acres and has a surface parking lot that can accommodate 158 cars and 12 trucks.

The building has 4 existing dock doors and the ability to add overhead doors with ease since it originally had Overhead doors prior to its renovations in 2006.

The building has a mixture of commercial/office and warehouse with ceiling heights of 9′ to 16′ in the office area and 22′ to 35′ in the warehouse. The column spacing is 46 x 54 in the warehouse. The building has a 1200 amp service with public water and sewer.

130 Redner way is conveniently located just off Rt. 61. The site is within fairly close proximity to I-78 and Rt. 222 which are both accessibility via Rt. 61 N/S.  The building is located in Ontelaunee Township which is a business friendly municipality.

For More Information visit the link below.

Brochure Thumbnail Large

Don’t forget to visit www.Bryan-Cole.com or my clients/members site atwww.NAIKeystoneMembers.com

 

Bryan Cole, SIOR | Sr. Associate

Bcole@naikeystone.com

NAI Keystone Commercial & Industrial, LLC

3970 Perkiomen Ave, Suite 200 Reading, PA 19606

www.Bryan-Cole.com or www.WyomissingOfficeSpace.com

Direct +1 610 370 8502 |Main +1 610 779 1400 | Fax +1 610 779 1985

Blog | LinkedIn  | Twitter  | Main Website | Office Space Site