Dallas Office Occupancy

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KCHornedFrog
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Dallas Office Occupancy

Postby KCHornedFrog » 28 Feb 2023 09:49

The below graphs display the percentage of daily access to 2,600 buildings in 138 cities across the US, as tracked by a company that provides keycards. The 100% figure likely indicates that all employees or people authorized to access these buildings with the percent showing the daily access.

For just the second time since Spring 2020, office occupancy rose above 50%. Wonder if we'll see this trend continue into spring.

Another interesting note is how far behind Austin and Houston's highest occupied day of the week Dallas currently is.

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Addison
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Re: Dallas Office Occupancy

Postby Addison » 28 Feb 2023 10:33

Leaders in Texas and other red states have been pretty vocal skeptics of COVID lockdowns and social distancing measures from the get go. And given many of them tend to fall onto the conservative side of the spectrum, it's not surprising they've been the ones leading the charge with a return back to 2019-esque normal when it comes to RTO.

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KCHornedFrog
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Re: Dallas Office Occupancy

Postby KCHornedFrog » 11 Apr 2023 11:35

Nationally, metros are having a difficult time breaking 50% office occupancy. However, the 3 TX metros highlighted (Austin, Houston and Dallas) are the top 3 in the nation.

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tamtagon
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Re: Dallas Office Occupancy

Postby tamtagon » 11 Apr 2023 16:52

Nice data

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Hannibal Lecter
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Re: Dallas Office Occupancy

Postby Hannibal Lecter » 16 Apr 2023 13:35

Houston, Dallas lead the country in office attendance — and empty office space
New York and San Francisco have some of the lowest office attendance rates but have lower office vacancies than their Texas peers.

https://finance.yahoo.com/news/houston- ... 19682.html

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I45Tex
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Re: Dallas Office Occupancy

Postby I45Tex » 21 Apr 2023 09:31

From your link, San Francisco is not significantly lower vacancy, but San Jose is.

"Houston and Dallas had 18.8% and 17.2% of office space sitting empty at the end of 2022, according to the figures from CoStar and JPMorgan..."
metro San Francisco-Oakland 16.4%
metro Chicago 15.1
national average of 12.5
metro NYC 12.3
metro San Jose 12.0

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I45Tex
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Re: Dallas Office Occupancy

Postby I45Tex » 21 Apr 2023 09:39

I would say that the central core business district's office market is stronger and larger, relative to its suburban office markets, in most coastal cities -- and most Great Lakes ones -- than they are in the South-Central Sunbelt office markets.

IMHO Texas cities' most comparable peer office markets (no not for growth rates or overall square footage; however yes for having similar relative internal levels between core and periphery) are the Oklahoma, Colorado and Missouri cities, followed by Atlanta, Detroit, Columbus, Baltimore and Indianapolis.

Miami, Central Florida metros, and Phoenix are not comparable because they've grown up more like San Antonio in terms of being lite on industry or office business and more centered around retirement/hospitality business than Houston, DFW or Austin markets are.

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I45Tex
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Re: Dallas Office Occupancy

Postby I45Tex » 22 Apr 2023 16:54

tamtagon wrote:Nice data


It was certainly interesting to see that LA is an outlier for fewer office building employees taking Friday off compared to Tuesday.

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utgf
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Re: Dallas Office Occupancy

Postby utgf » 08 Jun 2023 20:30

Hopefully the San Francisco market is finally turning around: They Fled San Francisco. The A.I. Boom Pulled Them Back

Tnexster
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Re: Dallas Office Occupancy

Postby Tnexster » 05 Jul 2023 11:09

Dallas-Fort Worth office vacancy rises with no sign of leasing rebound
To attract tenants, office landlords are offering the most free rent and other concessions since at least 1997.

https://www.dallasnews.com/business/rea ... g-rebound/

But the slight increase in office absorption was only because Wells Fargo’s new Irving office campus was added to the mix. The banking firm won’t even move into those new Las Colinas buildings until late 2025.

“D-FW net leasing would have been negative 378,000 square feet without Wells Fargo,” said Transwestern research manager Andrew Matheny.

Tnexster
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Re: Dallas Office Occupancy

Postby Tnexster » 05 Jul 2023 15:05

Landmark downtown Dallas office skyscraper hopes to score with pickleball
Fountain Place tower is getting a lounge with pickleball, golf and hunting simulators.

https://www.dallasnews.com/business/202 ... ickleball/

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Tnexster
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Re: Dallas Office Occupancy

Postby Tnexster » 06 Oct 2023 11:46

Dallas-Fort Worth’s empty office space soars to a record high
The total available space is twice as much as what exists in all of the towers in downtown Dallas.

https://www.dallasnews.com/business/rea ... cord-high/

“In terms of absolute square footage, we’re at a record today,” Transwestern research manager Andrew Matheny said. “In terms of percentage of available office space, I think we’re approaching the 1980s records.”

It was back in the 1980s when D-FW office vacancies last soared due to rampant overbuilding and a banking sector collapse.

This time it’s a decline in office space usage since the pandemic that’s left North Texas awash in empty offices.

Most of the available office space — more than 10 million square feet of empty and sublease space — is in the downtown Dallas area, according to Transwestern’s third quarter study. Other large totals of empty offices are along the Dallas North Tollway corridor in West Plano and in Las Colinas.


The largest share of the vacant offices is in older and poorly located buildings.

“The majority of the vacancy resides in the B and C space, which has become mostly obsolete,” said longtime commercial property broker Jack Crews. “Most of the A and AA buildings are leasing and rates are rising in these buildings. Lots of old buildings need to come down and make way for new modern mixed-use developments.”

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I45Tex
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Re: Dallas Office Occupancy

Postby I45Tex » 26 Oct 2023 17:16

https://www.bisnow.com/dallas-ft-worth/ ... lly-121257

"Property investors continue to favor Dallas above all other U.S. markets even as economic turmoil stifles the bulk of activity.

For the third year in a row, Dallas led the nation in commercial real estate investment, with $13.2B deployed over the first nine months of this year, per new data from MSCI Real Assets. That’s a 64% decline over the same period last year, but still more than the $12.7B spent in the runner-up metro of Los Angeles."

Additionally there's outside investment in area buyouts not just property -- though this is not an office but an apartment builder --
https://www.bisnow.com/dallas-ft-worth/ ... try-120922

"JPI will keep its name and Irving headquarters and maintain offices in San Diego and Irvine, California, according to a news release. The subsidiary will be led by JPI CEO Payton Mayes and Chief Financial and Investment Officer Mollie Fadule.

“This transaction will enable JPI to grow and deepen our impact on the housing sector,” Fadule said in a statement. “I am thankful to have a trusted partner in Sumitomo Forestry, one that not only understands and respects JPI’s culture and values but also shares our vision and commitment to future growth and impact.”

Absorbing JPI’s business will dramatically expand Sumitomo’s presence in the commercial real estate industry, which it has been building since its acquisition of Crescent Communities in 2018. The company got its start in the single-family home sector in 2003."

https://www.bisnow.com/national/news/ca ... ber-121332

Nationally, "Some 88.9% of CMBS loans associated with office properties defaulted at their maturity in September, while 11.1% were paid off during the month and none were extended or modified, according to Moody's Analytics.

Defaulting office loans in September totaled $672M, with $83.7M of maturing loans paid off. September was by far the highest percentage and dollar total for office defaults in a single month this year, well above the previous high-water mark seen in April, when 51.1% of loans due defaulted, totaling $167.2M."

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KCHornedFrog
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Re: Dallas Office Occupancy

Postby KCHornedFrog » 02 Nov 2023 09:32

https://www.bloomberg.com/news/articles ... -resources

Biden Administration unlocking funds from a number a various agencies to help turn offices into apartments.

Office occupancy continues to hover around 50%, even in Dallas which is performing better than the national average. Dallas continues to trail Houston and Austin.

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