Bach sees office vacancy rising to a national average of 16.5 percent from 14.8 percent at year-end 2008, and industrial vacancy moving to the 9.3-percent level from 8.8 percent.
Under construction is 80 million square feet of office space and 72 million square feet of industrial product.
Robert Bach
"As a percentage of the existing inventory, neither the office nor industrial construction pipelines reached their previous peaks leading up to the recessions in 2001 and 1990-91," Bach notes.
"Nevertheless, new space deliveries in 2009 and 2010 will cause leasing market fundamentals to soften, even before negative absorption is factored into the equation."
He adds, 'Tenant downsizings are expected to generate significant negative absorption, which will raise vacancy rates above these levels before a market recovery can begin."
Comments on this Story
industrial staffing company | 02/11/09 10:58 AM | Reply
Industrial Staffing is the backbone of the construction industry in its unique ability to keep skilled tradesmen working in the industry they have known all their lives. Not an easy feat when the economy and project starts are down. All time low’s are being recorded everyday, this is the time of the construction staffing and industrial construction staffing methodology to show its worth.
Tradesmen in this industry are finding the internet a hot tool for accomplishing the task of find a industrial construction job or staffing extra tradesmen and journeymen on a temporary basis. The website of Grus, Inc. features a Hot Job Alert notification system designed to allow keep workers informed and working. Additionally, Grus features a profile selection process so contractors and sub-contractors can hand pick the tradesmen they want to work with and then move on to listen to a recorded interview of that candidate.
The internet is saving our recession from depression in ways we cant grasp now. With the internet and other advanced technology our recession will never amount to the depression of the 30’s – we just have too many new markets for money to be made and we have a global economy now.
Industrial Construction and Industrial Staffing will boon in the coming weeks, with contractors having already laid off their permanent workforce they are seeking temporary skilled workers to complete newly awarded industrial construction projects in greater numbers every week.
Industrial Staffing keeps workers working and keeps costs low for contractors to earn larger profits. Since the industrial staffing company can handle all the recruiting, interviewing, payroll, and testing, this leaves more time for industrial contractors to market their services and reach new agreements with new vendors further extending the savings and profits in this recession of ‘08
http://www.gruspersonnel.com
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