Office, Industrial Real Estate Vacancies Down in Greenville-Spartanburg

CBRE has released its quarterly report of the office and industrial real estate market in the Greenville-Spartanburg area.

According to the report, vacancy rates were down for both office and industrial, with office vacancy rates declining to 9.6 percent and industrial vacancies declining to 5 percent, compared to 6 percent for last year.

In the office sector, average asking rents reached a record $29.71 per square foot, up 7.6 percent year-over-year. The 101 East Court development, Greenville's first multi-tenant office project in several years, is now approximately 87 percent preleased. Overall vacancy peaked at 17 percent in Q2 of 2023.

In the industrial sector, the market recorded 685,000 square feet of positive net absorption in Q3 and more than 5.3 million square feet year-to-date. While no new industrial projects were delivered during the quarter, more than 3.3 million square feet remains under construction, with development activity increasingly concentrated in a handful of large projects.

Limited development in the industrial sector has reduced the amount of new space added to the market, contributing to tight availability, particularly among facilities of 500,000 square feet or more.