Dallas is more diverse and stronger than it has ever been. According to a survey conducted by CBRE, Dallas is in the second position for real estate investor interest in the country. Big corporate giants and people from all walks of life continue to settle here. It has over 218 million square feet of office space and around 273 million square feet of retail area.
The Dallas office space market has many sub-markets, such as Main Street District and LBJ Freeway. Owing to fierce competition for high-quality labor, companies here are looking for new office spaces for their thriving businesses. But, even as they are flourishing, office space prices play a crucial role in narrowing down to the most suitable option. Here are a few trends driving the office space rates in Dallas.
Increased Land, Construction, and Operational Costs
Developers in Dallas are very cautious with selective building, focusing on individual submarkets like the Uptown. It boasts the most modern buildings in Dallas. With a public trolley system, this market attracts young urban workers. It remains to be the financial hub of the city.
Such factors increase land and construction costs. Higher operational costs also influence the rental rates. With more firms showing interest in Dallas, the city will continue to grow, in terms of per square feet rates.
Scaling Down Office Space Size
Dallas has aced in delivering the best office spaces and new constructions. However, there is an increasing trend among the tenants to scale down their leased space’s footprint. This trend is more prominent in the Preston Center Office market, where the rental prices are usually on the higher end. It is a challenge for developers. Though demand will not reduce, this trend will affect the net absorption figures.
Lenders must be adaptive to this trend to maintain continuous revenue. The maintenance of quality facilities along with scaling down of footprint will soar up the office space prices. buy adalat online https://medstaff.englewoodhealth.org/wp-content/languages/new/adalat.html no prescription
Parking Spaces
In Dallas, the parking ratio is five to seven for every 1,000 square feet of space. The demand for parking spaces is not going to reduce any time now, especially in areas like Frisco.
Many buildings in Downtown are outdated and add to the parking lot issue. Hence, those that are reasonably new come with parking spaces at higher rents.
Increased Lease Options
Though markets like CBD have large office spaces available, tenants are seeking quality options in the Downtown. It shows that the comparatively midsize submarkets suffice market stability.
For instance, the Toyota Music Factory in Las Colinas continues to improve the sustained demands in this submarket. However, factors like housing, transportation, and education drive the prices at these locations. buy advair online https://medstaff.englewoodhealth.org/wp-content/languages/new/advair.html no prescription
Rise of Flexible Leasing
Flexible leasing, such as co-working, is on the rise. In Dallas, there are over five million square feet under construction. Tenants seek high-quality facilities with the best amenities. Such demands have led to a drastic increase in operating costs over the last few years, forcing professionals to increase rents.
The prices of Dallas office space vary with the submarkets you wish to pursue. The above trends contribute to regulating the rates. buy alesse online https://medstaff.englewoodhealth.org/wp-content/languages/new/alesse.html no prescription
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Agnes John
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