We are halfway through our series and in today’s entry we’re talking about office to retail conversions. As retail vacancies continue to drop and office vacancies rise, owners are exploring the idea of converting unused office space into retail space. According to the Phoenix Business Journal, retail space has had a low vacancy rate of 5.1% … Continue reading Office Space Converting to Retail? (Office Conversion Series – #4)
Today we’ll look at office to lab conversions. The idea of turning office space into lab space has been tossed around in the media for years. Most people would think this is the easiest conversion, but there are some challenges that come with this type of conversion. Let’s take a quick look at why people … Continue reading Office to Labs? (Office Conversion Series – #3)
This is week two of our office conversion series and today we discuss office to multifamily conversions. Right off, we count over 20 prime office sites in Metro Phoenix that have been developed as multifamily in the last decade. This site stealing is not new. The relatively new thing is developers taking existing office buildings and retrofitting … Continue reading Office to Multifamily? (Office Conversion Series – #2)
As office building usage continues to drastically evolve, the conversations we are having around converting office buildings into different uses, such as Industrial, Multifamily, Labs, Retail, Schools, and Medical have gained significant traction. Over the next six weeks, I will explore each potential type of conversion, the pros & cons, what the challenges are for … Continue reading Office to Industrial? (Office Conversion Series – #1)
WeWork… I have been following and writing about this company for a long time (here & here)….and have been telling everyone that the model they created was just not sustainable. Turns out, I was right. They filed for bankruptcy this past Monday. WeWork was founded in NYC in 2010. It reached its prime in January 2019 when the … Continue reading WeWork – Bankrupt… Finally
The Third Quarter proved to be another reminder of how challenging these times are for the Metro Phoenix Office market. Net absorption went negative in a big way, at -355,027 SF over the past 90 days. This drags the year-to-date figure down to -540,940 SF and puts office users on track to vacate more space than they … Continue reading 1-Minute Phoenix Metro Office Market Update: Q3 2023
We work in the Phoenix market every single day, monitoring trends and staying on top of the latest developments. I wanted to see if the Metro Phoenix office market was any different from the global office market. Short answer: it’s not. The Longer Answer: — Office space was hit hard all over the world … Continue reading Phoenix Office Market vs. the World
We’re halfway through the year and the Metro Phoenix Office market continues to trudge along. I thought 2023 would be a much improved year for the office. However, net absorption went negative for the second quarter in a row, albeit by a small notch, only like in Q1. Net absorption is the net increase in … Continue reading 1-Minute Phoenix Metro Office Market Update: Q2 2023
Where are office users going? That is a trick question in today’s market. They are still here — they are just changing, and becoming more demanding. Due to hybrid work becoming more common over the past few years, companies have to entice workers to come out of their homes and back into the office. Office … Continue reading The Office Market Reinvention
We write about the state and future of the office market in The C2 Voice weekly. Because we are on the front lines, we see trends happening as they develop. Today, we want to share a great study that just came out from NAIOP (the main association for Office Developers) that mirrors our perspective but … Continue reading Demand for Office Space Expected to Shrink Through Early 2024