The vacancy rate for industrial space in central Arkansas continued its slight downward trend in the third quarter.
It stands at 11.2 percent compared with 11.4 percent in the previous quarter and 11.7 percent in the year-earlier quarter.
“Net absorption for the quarter was 92,890 SF, the second highest in the past five quarters,” noted J. Fletcher Hanson of Newmark Grubb Arkansas. “Opinions about the health of our industrial market appear generally positive and are best described as ‘cautiously optimistic.’”
“More spaces are beginning to be marketed toward and used by nontraditional users, which appears to have contributed to average rental rates rising to $2.26-$6.43 from $2.32-$5.96 in the previous quarter. We expect this trend to continue,” said Hanson.
“Although the central Arkansas market may not be described as ‘hot’ and we may not be experiencing the same level of sticker shock many landlords and investors across the U.S. have expressed as they renew leases signed several years ago, we expect central Arkansas will remain steady and continue to trend positively in terms of both vacancy and rates.”
Sign up for Daily E-news
