Last quarter, Downtown St. Louis recorded its lowest office vacancy in years and while the market vacancy ticked up slightly in the second quarter, signs remain encouraging throughout the metro. The recorded vacancy at the end of the quarter was 12.5%, marking 14 consecutive quarters below the long-term average of 13.5%. Utilities and bio-tech industries have driven growth in the market and rents are expected to elevate over the mid-term. For more on the market, check out the Second Quarter Office Snapshot here.
The current economic cycle has resulted in major development projects in St. Louis, such as The City Foundry and Armory building, with little sign of a slowdown on the horizon. As employment rushes to the urban core, multifamily units have followed. With rents expected to rise and vacancies expected to decrease, the market remains one to watch for renters and investors alike. For more on the St. Louis multifamily market, check out our Second Quarter Market Insight report here.
ST. LOUIS, November 28, 2018 – Cushman & Wakefield has arranged the $5.4 million sale of a five-building campus encompassing 263,700 square feet (SF) on 43 acres located at the northeast quadrant of I-70 and Missouri Highway 61 in Wentzville, MO. Keith Schneider and Joe Schneider of Cushman & Wakefield represented the seller, The Century Complex Group, LLC, who previously acquired the vacant campus from CenturyLink. Florissant, MO-based Urshan College acquired the campus. The Century Complex Group, comprised of a small group of local investors, purchased the vacant campus speculatively in late 2017. “We initially planned to create value through subdividing and upgrading the various buildings, offering them for sale or lease individually, but as it turned out, Urshan College learned of the opportunity and decided they needed the entire campus to meet their long-term growth plans,” said Keith Schneider, Cushman & Wakefield Senior Director. “We are thrilled to be [...]
Market Overview Construction in the St. Louis industrial market continued to be active with over 1.0 million square feet (msf) of new inventory delivered during the third quarter of 2018, bringing year-to-date deliveries above 3.5 msf. Developers remain aggressive, as strong tenant activity accounts for 3.5 msf of positive absorbed over the same period. These strong market overview fundamentals translated to healthy rent growth, as average asking rates ticked upwards to $4.96 per square foot (psf), an increase of $0.39 over the past six months. After posting nearly 170,000 square feet (sf) of positive absorption in the third quarter, St. Louis continues to benefit from a growing local economy and an emphasis on innovation. The city’s innovation hub, Cortex Innovation District, led absorption activity with roughly 96,000 sf of positive absorption at the recently built Cortex 3.0. Given healthy activity, the market’s vacancy of 12.0% fell by 30 basis points [...]
Highlighting lifestyle trends and the millennial effect, this perspective piece compares suburban and downtown locations; focuses on attracting educated workers; and explains how a sound real estate strategy should drive location decisions. Low unemployment rates are coupled with the growing need for tech savvy employees and forward-thinking perspectives on old products and services. New ideas are the precious raw materials—creating an intense focus on labor attraction efforts in the tech sector and technology jobs in traditional companies. Employers have responded by re-evaluating their location decisions and workplace experiences.
Visualizing the workplace in 2025 starts with the realization that planning for that reality starts today. People today can work from anywhere, at any time so offices now must compete with other workplace options. When workers do go into the office, they want a work environment to complement their work-life experience—and a place where they feel valued, connected and supported. It’s all about people—and workplace 2025 is closer than you think.
Cushman & Wakefield announced today that Joe Schneider has obtained the CCIM designation, representing his proven expertise in financial, market and investment analysis. CCIM designees help clients minimize risk, enhance credibility, make informed decisions and close more deals. CCIM stands for Certified Commercial Investment Member. The CCIM lapel pin denotes that the wearer has completed advanced coursework in financial and market analysis, and demonstrated extensive experience in the commercial real estate industry. CCIM designees are recognized as leading experts in commercial investment real estate. Joe Schneider joined Cushman & Wakefield in 2014 and specializes in office and industrial sales and leasing, land sales and development consulting and investment property sales. He is skilled in helping clients make informed and calculated decisions on complex real estate matters. Schneider previously served as Transaction Manager on the H&R Block account in the Portfolio Solutions Center for Cushman & Wakefield. His responsibilities included lease [...]
Cushman and Wakefield research shows construction in the St. Louis industrial market continues to grow with over 1 million square feet (msf) of new inventory, bringing year-to-date deliveries to above 3.5 msf. Developers remain aggressive with strong tenant demand and healthy rent growth. Average asking rates increased to $4.96 per-square-foot, increasing $0.39 over the past six months. The St. Louis office market recorded nearly 170,000 square feet (sf) positive net absorption. The Cortex Innovation District led activity with roughly 96,000 sf positive net absorption. The market’s 12.0% vacancy fell 30 basis points from last quarter, supporting strong rental income potential for investors. Cushman & Wakefield Q3 2108 Market Snapshot
North City-based Eagle Specialty Products acquired the 467,000-square-foot industrial warehouse complex on 26 acres at 1 Lincoln Way in Berkeley for $1.35 million in a pre-auction bid. Cushman & Wakefield brokers Keith and Joe Schneider represented Eagle Specialty Products in the sale. Sansone Group’s Jake Corrigan represented the seller, The Welfont Group. SKF will begin to move out in December of 2018, and Eagle Specialty Products and its subsidiary, Giani, Inc. will move into the space in the summer of 2019. Eagle and Giani’s current operation spans 3 buildings in North St. Louis City, 2 of its 3 current locations, 2216 N. Broadway and 2222 N 2nd St., will be sold at a later date. Led by owner and President Floyd Thomas III, and Vice President, Jack Wisor, Eagle Specialty Products, originally founded in 1959 and formerly known as Thomas & English, has grown to become a leading national manufacturer and [...]
ST. LOUIS, July 31, 2018 – Cushman and Wakefield has arranged the $8.4 million sale of PW Shoe Loft Apartments, a loft-style multifamily apartment building with ground-level retail located at 3433 Locust Street. Bobby Mills, Mike Hanrahan, and Paul Hilton of Cushman & Wakefield’s St. Louis office represented the seller, PW Shoe Lofts, LP, in the transaction. Ridgehouse Capital acquired the property. “Our Cushman & Wakefield team is pleased to have represented the seller of this luxury multifamily property,” Mills said. “Our team’s marketing efforts resulted in premium pricing for the St. Louis market, which is another example of investor’s strong appetite for multifamily properties in the St. Louis Metro.” PW Shoe Lofts is a luxury, loft-style apartment building located in Midtown St. Louis. The asset is strategically positioned adjacent to St. Louis University, offering 34 high-end lofts for students and other residents searching for a live/work/play environment. In addition [...]