To simplify the Plano office market report the market is divided into two different markets. Each market has its own unique characteristics and they are prominent enough to justify this report being broken into two submarkets. One market is labeled as Plano and it consists of Plano office space east of Preston Road, west to Wylie.
East Plano Office Market Q1/2019
East Plano's office market continues to expand, adding 4.6K SF in new inventory in the first quarter. There are 93 buildings with 61.2K SF of space under construction and a scheduled to deliver in 2019 and early 2020. The first quarter of 2019 saw an increase in the vacancy of 2.8%. East Plano's office market is healthy but it hasn't seen the robust growth that West Plano has experienced.
The demand for east Plano may be changing soon with the recent announcement of the demolition of Collin Creek Mall and its transformation to a mixed-use development called Collin Creek. This is going to be a billion-dollar redevelopment that will have apartments, 1.3 million square feet of office space, redesigned retail and condominiums. Coupled with the close proximity to Richardson's City Line and the positive growth it has experience. Eat Plano could soon experience the same robust demand that West Plano has witnessed.
Important Quarterly Statistics:
Total Inventory: 4.9M a .1% Increase for the quarter
Vacancy Rate: 35.4% Increased 2.8% for the quarter
Market Rent: $24.33 Per SF .4% Increase for the quarter
Market Sales Price: 210 Per SF Increased 6.9% for the quarter
Market Cap Rate: 6.5% Increased -.01for the quarter
West Plano Office Market Q1/2019