- OKC employment gains keep net absorption near equilibrium
The Q1 2018 market ratings by Moody’s Analytics have shifted Oklahoma City within mid expansion status of the business cycle, showcasing the metro’s continued gains in employment. In addition, the OKC metro is forecasted to grow 2.8% in gross metro product totaling $68.4 billion by year-end. Office-using employment experienced notable growth in Q1 2018.
- Vacancy in the CBD pushes past high water levels at 20.2%
The delivery of the much anticipated Class A, 692,716-sq.-ft. BOK Park Plaza to the CBD caused vacancy to mushroom to 20.2% in that submarket. Devon Energy Corp. holds a master lease on the building, but is subsequently selectively offering that space for sublease. Bank of Oklahoma occupied approximately 100,000 sq. ft. of sublease space in the new building.
- Investment sales flatline
For the first time since Q2 2012, investment sales ended the quarter without a single transaction. Meanwhile, expectations are piqued for the 823,631-sq.-ft. Cotter Portfolio that has drawn significant interests from investors nationally. The portfolio is being marketed for sale and is set for disposition in Q2 2018.