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Agenda - Economic Development Authority - 02/11/2021
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Agenda - Economic Development Authority - 02/11/2021
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3/14/2025 3:35:08 PM
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2/5/2021 10:55:13 AM
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Meetings
Meeting Document Type
Agenda
Meeting Type
Economic Development Authority
Document Date
02/11/2021
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111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111 <br />MARKETVI EW <br />Minneapolis/St. Paul, Q4 2020 <br />Steady leasing amid <br />absorption challenges <br />11111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111 <br />Vacancy Rate <br />18.6% <br />I li'IIIII'. III I,ilnnI Awn nl lull A' Il h II <br />20.00 <br />18.00 <br />16.00 <br />14.00 <br />12.00 <br />10.00 <br />8.00 <br />6.00 <br />4.00 <br />2.00 <br />0.00 <br />Net Asking Rate <br />$15.62 per sq. ft. <br />2010 2011 2012 <br />Class A NNN Asking Rent <br />Source: CBRE Research, Q4 2020. <br />Under Construction <br />847,280 sq. ft. <br />11111111111111111111111 <br />Net Absorption <br />(277,635) sq. ft. <br />1111111111111111111111 <br />2013 2014 2015 2016 2017 2018 2019 2020 <br />IIIIIIIIIIIIIIII Class B NNN Asking Rent <br />IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII Class C NNN Asking Rent <br />fflonnimOverall Net Asking Rate <br />• The uncertainty of the office market was MARKET OVERVIEW <br />reflected in Q4 negative absorption that <br />pushed vacancy to 18.6% The Minneapolis/St. Paul office market remained <br />steady in Q4, with rents flat overall, a modest 0.3% <br />• Leasing remained steady overall, reflective rise in vacancy, and limited new leasing activity. <br />of many companies' delaying decisions Overall office leasing was steady, and renewals <br />until 2021 were up versus Q3. Activity was evenly distributed <br />across industry sectors and was geographically <br />• The Minneapolis CBD led all submarkets focused on the Minneapolis CBD submarket. <br />in Q4 leasing activity <br />,:,..11111111111l. Ili 111111II w.: 111 a b'I l <br />
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