Business & Real Estate

Sacramento-area vacancy rate for office buildings continues to decline

The vacancy rate for office buildings in the Sacramento region continued its gradual decline in this year's third quarter, to 20.75 percent, according to the regional office of international commercial real estate firm of Newmark Cornish & Carey.

That was a decrease of 0.37 percent from the second quarter.

It marked the seventh consecutive quarter of decreases, following five years of increases. The vacancy rate peaked at an all-time high of nearly 24 percent in 2012.

There was 191,000 square feet of newly occupied office space, or net absorption, in the region during the third quarter. The company noted that leasing in the south Placer County submarket was particularly strong, with 225,000 square feet of space occupied during the quarter.

“If it wasn’t for the brisk leasing activity we are having in Roseville and Rocklin, we would have very little net absorption to report year-to-date” said John Frisch, regional manager for the firm...The market is slowly gaining strength, but there still aren’t enough deals to go around.”

Call The Bee’s Mark Glover, (916) 321-1184.