Following a soft previous quarter, Q3 2018 returned to positive absorption territory and closed with 246,642 sq. ft. of net absorption.
The market-wide vacancy rate declined to 2.8%, a new record low. Class A and B vacancy rates also hit record lows, falling to 2.4% and 2.8%, respectively.
Market-wide average asking rates dipped compared to Q2 2018 as Class C has continued to make up a larger portion of market availability. At the close of Q3 2018, 50% of all available space in the market was Class C.
The quarter closed with users seeking 1.3 million sq. ft. of space. This is only 546,000 sq. ft. less than total available sq. ft. and almost double the total vacant sq. ft. in the market.