Favorable rental rates, plentiful financing sources and optimism among tenants and buyers helped make 2015 the best year for sales and leasing in the Fresno office market since 2006, according to a report from Colliers International.
Vacancy in the Fresno and Clovis area fell to 12.49 percent compared to 13.08 percent last year, the Fresno commercial real estate brokerage firm says in its first-quarter 2016 market report.
“We’ve had three solid years in a row,” said Brian Decker, Colliers president for Fresno, Bakersfield and Central California Coast. “We’re continuing to see that momentum carry forward to this year.”
The West Herndon and Palm Bluffs area appeared healthiest with about 10 percent vacancy. The East Shaw submarket improved slightly with vacancy dropping to 19 percent compared to a high of more than 20 percent in 2014. Empty office space, however, increased in Clovis, the airport area, and downtown Fresno, the report says.
New office construction remained low with “only a few over the last year,” Decker said. “We’re absorbing vacancy spaces available.”
A few significant transactions are in the works this year, he said, which could drop the vacancy rate considerably.