Staff Report
Published Feb. 8, 2010

Indicators in the commercial real estate market are pointing to stabilization, with occupancy rates flattening out the first quarter instead of dropping off as in the previous two quarters.

The commercial boost from Boeing’s announcement that it would locate a 787 assembly plant here, along with other announcements, such as Maersk’s contract renewal with the port, are expected to help the Charleston area rebound, according to the market report by Anchor Commercial. But it might take another year before the effects of those announcements will be felt in commercial real estate, the report said.

In addition, the commercial market isn’t fully poised to recover. Businesses are still in a holding pattern, and expansion and distressed real estate assets are predicted to constitute a large portion of real estate transactions this year.

The commercial market report for February shows Charleston’s vacancy rates for the different areas in the office, warehouse and retail segments. Click the corresponding maps to see them full-size.

Office:

· Total square feet/available square feet: 8,465,725/1,618,023

· Vacancy rate for the greater Charleston area: 19.11%

· Rental rate: $16.19 triple net

Warehouse/industrial:

· Total square feet/available square feet: 22,086,673/3,308,198

· Vacancy rate for the greater Charleston area: 14.98%

· Rental rate: $5.25 triple net

Retail:

· Total square feet/available square feet: 19,881,152/1,927,499

· Vacancy rate for the greater Charleston area: 9.70%

· Rental rate: $18.00 triple net