Q2 2020 | E Fort Bend Commercial Real Estate Trends

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E Fort Bend Commercial Real Estate Trends

Office Market

The Fort Bend office submarket posted 31,309 SF of negative net absorption in Q2 2020. The average vacancy rate increased to 11.8% from 10.3% over the quarter. The average quoted rental rate dropped from $30.97 to $30.39 per SF and leasing activity decreased over the quarter by 40%. There is one building totaling 56,000 SF under construction - an expansion for the Houston Community College System located on W Airport Blvd. The building is expected to deliver in Q3 2020.

2020_Q2_FortBend_MarketIndicators

*For the purpose of this report, the geographical boundaries previously used for the Fort Bend industrial submarket have been updated to include buildings that are typically considered by our clients when they are seeking locations in the Fort Bend/Sugar Land and Missouri City areas.

Medical Office Market

The average quoted rental rate increased over the quarter from $27.63 to $28.02 per SF. The average vacancy rate rose 70 bps from 14.6% in Q1 2020 to 15.3%. Leasing activity remained steady over the quarter, totaling 18,602 SF. Currently, there are no buildings over 10,000 SF under construction in the submarket.

Industrial Market*

Although the submarket recorded 61,451 SF of positive net absorption during Q2 2020, vacancy remained at 9.4% due to the completion of a new building that was added to the existing inventory. The average quoted rental rate rose over the quarter from $8.11 per SF to $8.20 per SF. Currently, there are seventeen buildings with 1,049,600 SF of industrial space under construction. The largest project is the 228,900 SF speculative industrial distribution warehouse located in the Stafford Crossing development located at Highway 59 (Highway 69) and Highway 90, in Stafford, TX. 

Retail Market 

The average asking rental rate for the Fort Bend retail submarket increased from $23.06 per SF in Q1 2020 to $23.23 per SF in Q2 2020. The submarket recorded 15,699 SF of negative net absorption in Q2 2020, increasing the vacancy rate from 6.4% to 6.9%. Five properties totaling 110,900 SF are currently under construction. The largest project includes two 30,750 SF buildings in Tang City Plaza on Highway 6 in Stafford, TX. The buildings are scheduled to deliver in Q3 2020.

 

 

Featured Properties

Land

   
2020_Q2_FortBend_11923 Highway 6_1079352

10 TO 40 ACRES FOR DEVELOPMENT
HIGHWAY 6 FRONTAGE
11923 Highway 6
Fresno, TX 77545

  2020_Q2_FortBend_SEC Highway 36_1071282_new2

346 AC DEVELOPMENT SITE    
SEC SH 36 & Spur 10
Rosenberg, TX 77471

Office

   

Q3_2019_FortBend_Office_1

THREE SUGAR CREEK
Office Space for Lease
3 Sugar Creek Center Blvd
Sugar Land, TX 77478

 

2019_Q4_FortBend_RIVERPARKRIDGEDEVELOPMENT

RIVER PARK RIDGE DEVELOPMENT
Preleasing Medical/Professional Office
2819 Imperia Dr
Sugar Land, TX 77479

Retail

   

 2019Q4FortBendLexingtonSquare

2ND GEN END CAP RESTAURANT
4,401 SF Space in Lexington Square
16535 Lexington Blvd
Sugar Land, TX 77479

  2020_Q2_FortBend_11420 Dairy Ashford_1074262

RETAIL/OFFICE SPACE AVAILABLE
1,450 - 2,145 SF at Ashford Lakes
11420 Dairy Ashford
Sugar Land, TX 77478

Industrial

   

2019Q4FortBendHighBayWarehouse

HIGH-BAY WAREHOUSES
Total ±71,438 SF on ±4.55 Acres
701 W Sycamore Rd
Fresno, TX 77545

  2019Q4FortBendSite Outlined


GILLINGHAM DISTRIBUTION CENTER, PH II
Proposed 104,000 SF New Construction
1621 Gillingham Ln
Sugar Land, TX 77478

 

14140 SOUTHWEST FREEWAY
Office Space for Lease
14140 Southwest Fwy, Sugar Land, TX
14140 SOUTHWEST FREEWAY
Office Space for Lease
14140 Southwest Fwy, Sugar Land, TX
THE SHOPPES AT SIENNA PLANTATION
Retail Space for Lease
Hwy 6/Sienna Plantation, Missouri City, TX
THE SHOPPES AT SIENNA PLANTATION
Retail Space for Lease
Hwy 6/Sienna Plantation, Missouri City, TX
THE SHOPPES AT SIENNA PLANTATION
Retail Space for Lease
Hwy 6/Sienna Plantation, Missouri City, TX
THE SHOPPES AT SIENNA PLANTATION
Retail Space for Lease
Hwy 6/Sienna Plantation, Missouri City, TX

FortBend_SearchResultImage_1024x972

Q2 2020 | E Fort Bend Commercial Real Estate Trends

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