MARKETBEAT
Office
Snapshot
Q3 Q1
2015
Industrial
Snapshot
2016
Roanoke, VA
Virginia
Market Overview
ROANOKE OFFICE
After many quarters of sluggish industrial growth, the Roanoke
Economic Indicators
12-Month
Forecast
Valley has several significant announcements from this eventful
Q1 15
Q1 16
Roanoke Employment
161k
163k
Roanoke Unemployment
4.8%
4.1%
Downtown Roanoke for their first east coast brewery. In addition
U.S. Unemployment
5.6%
4.9%
to the fanfare surrounding this announcement, Italian auto parts
first quarter. Perhaps the most anticipated headliner was Bend,
Oregon-based Deschutes Brewery announcing the selection of
manufacturer, Eldor Corporation, announced plans to locate their
first U.S. production facility at a 53-acre site in Botetourt’s
Market Indicators (Overall, All Product Types)
Q1 15
Q1 16
12-Month
Forecast
Greenfield Industrial Park. Grading of the site has begun for the
250,000-square foot manufacturing facility. Both Deschutes and
9.2%
9.6%
Eldor have the potential of attracting additional business to the
Net Absorption
1k
-81k
region, and both commented on the quality of life here as an
Under Construction
0
0
$4.22
$4.17
Overall Vacancy
Overall Average Asking
Rent
important element in their decision making process. In total, the
first quarter of 2016 expects to gain $173 million dollars in
investment and 608 new jobs.
Overall Vacancy
Key Lease Transactions Q1 2016
PROPERTY
14%
12%
11%
Historical Average = 11.2%
9%
TENANT
PROPERTY TYPE
622 Huntington Blvd
13,522
General Truck Body
Warehouse
1201 Electric Road
11,709
RSC Equipment
Flex
6525 Commonwealth Drive
10,500
Architectural Wood
Flex
2816 Mary Linda Ave
7,000
NOBLE Furniture
1348 Roanoke Boulevard
6,720
Shred-It USA, LLC
Warehouse
Flex
Key Sales Transactions Q1 2016
8%
PROPERTY
6%
2010
SF
2011
2012
2013
2014
2015
2016
Economy & Market Overview
Roanoke’s unemployment rate, although still healthy, ticked up to
4.1% this quarter. This is improved over one year ago when the
unemployment rate was 4.8%, but above the low of 3.8% set in
December 2015. The largest loser of jobs in the past twelve
months was Government with employment down 7.0%. The labor
force and the number of employed dropped from one year ago,
by 1.4% and 0.7%, respectively.
Cushman & Wakefield | Thalhimer
10 S Jefferson St
Ste 1750
www.thalhimer.com
For more information, contact:
Brad McGetrick, Director of
Brokerage Services
Tel: +1 804 697 3558
[email protected]
BUYER
PRICE / PSF
3125 Salem Tpke NW
64,324
SF
L & M Properties LLC
$355,000 / $6
7401 Timberlake Road
55,030
Amerco Real Estate Co
$2,800,000 / $51
2807 Hershberger Road
41,765
WJBF TV
$7,700,000 / $184
1805 Shenandoah Ave NW
5,000
Rawhide Partners LLC
$160,000 / $32
Outlook
Major economic news in the first quarter of 2016 should provide
both short-term and long-term optimism throughout Southwest
Virginia. Roanoke and Lynchburg continue to suffer from a lack of
available industrial property that accommodates more modern
manufacturing and distribution needs. Activity along the I-81
corridor remains strong, particularly in the Shenandoah Valley and
Roanoke regions.
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