High Vacancy Rates In Silicon Valley?
Not for houses to be sure, but one of the highest vacancy rates for industrial space in the nation is in "the heart of the Silicon Valley". "For example, San Jose, Calif...has a 16.8% vacancy rate in the Integra survey and a 16.4% vacancy rate in the Colliers survey."
I present this statistic to suggest that booming housing markets may not be justified by the economic fundamentals. The vacancy rate is much higher than the national average of 9.5% to 10%. Milwaukee Journal Sentinel.
2 Comments:
ben,
they're entirely separate. the office vacancy rates have been that way since the crash of 2000. prior to that was a level of overbuilding that couldn't possibly be sustainable by business demand. the vacancy rates today are not really an indicator of current economic activity as much as past (overbuilding) mistakes.
I agree they are seperate. This post was about industrial space, I don't know if office space is in the same boat.
It seems odd to me that any buildings would be vacant with the run-up thats going on. In Dallas, TX they turned all the warehouses into lofts.
Past overbuilding does crimp current economic activity, but it could be negligable, I admit. Are you located in SV? If so, whats going on with RE? Thanks for dropping by..Ben
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