Austin Area Large Warehouse Leasing Resources

SmallWarehouseBoxesLrg

 

Large Warehouse Overview-For Tenants

Do you want to leverage your ability to find, negotiate and close on a profitable small warehouse lease in Austin? If so, this is the page for you!

Shire Commercial helps buyers and tenants acquire or lease large warehouse space  15,000 SF, 30,000 SF  and up to 50,000 SF +.  The more information you have as a tenant or a buyer, the better off you are because you will stay more informed than others.  For 2017, inventory wise for warehouse properties in Austin, the larger vacancies are currently in the larger warehouse inventories starting at 10,000 SF and moving up from there.  The Far South and Northeast   Sub-Markets have the highest inventories as of April 2017 . When you choose to team up with a specialist like Shire Commercial, your direct benefits come from consistent tracking of the warehouse property market consistently every day so that You  can make the right decisions. Also provided for your information are recent posts regarding commercial real estate industrial property in the Austin area.

  • Research this page for additional information such as: Blog Posts and examples of successful transactions completed for our tenant clients.

 

 


Large Warehouses in Austin Articles and Information for Tenants

There are approximately 465 Flex warehouse properties , along with 594 Office warehouse type properties in the Central Texas market.  Austin warehouse spaces for lease changes daily especially in a tight market from 2016 moving into 2017.

Inventory picture for Austin warehouse space shows for Flex R&D space overall at 10% with Warehouse- Distribution vacancies coming in at a paltry 5.9%.

Clients utilizing our services will be able to benefit from search and negotiation strategies based on our historical results with other clients and the knowledge we possess about leasing Austin warehouse space. Shire Commercial specializes in tracking warehouse properties for sale and for lease, you can check various sub-market locations, rates and asking prices on this website. , if you don’t see what you are looking for call us today for a free analysis, availability changes daily.

If you would like to see detailed active listing data on large or small warehouse spaces for lease in Austin , Click on the specific orange button.

Lease Warehouses > 6,000SFLease Warehouses< 6,000 SF in Austin

 

Austin Warehouse Transactions Done by Shire Commercial

 

 

 


Inventory Picture for 2017

The largest concentrations of inventory for warehouse properties in Austin are as follows for 2017:

  • North 4.7M Square feet
  • North East 8.4M Square feet
  • Southeast 11.6M Square feet

Renting a warehouse

Posted by on Oct 6, 2017 in Austin warehouse space for lease, Commercial Real Estate Tips | 0 comments

Renting a Warehouse in Austin?

What is involved in renting a warehouse? If you are a new business and this is your first run at a warehouse or perhaps you are a young company moving from one warehouse property to the next this blog is for you.  Renting a warehouse is not just a process of finding something on the internet and cutting a deal. If it was that simple, then a commercial real estate broker or agents would not need any experience or any mandatory continuing education.  Let’s start with the simple things first, identification.  Finding the right warehouse to lease, is probably the easiest part however on some internet sites, the consumer is restricted to seeing what is available. Also, on some sites 60% of the data may be stale or not updated, therefore causing a major time sync in finding the right warehouse to rent. Also understand that is going to take 2X the monthly rent for you to execute a lease, meaning you pay 1 month in advance plus 1 month of security deposit.

Financials and Credit Warehouse update Texas

We come across this and you will too as a tenant every time you are renting a warehouse in Central Texas. How is your credit? When we ask this of a potential client, we are not necessarily asking do you pay your bills on time? It is a little more intricate than that. From experience since 2004, we know that most landlords especially on large warehouse properties are going to scrutinize your ability to pay the rent on time and judge your capacity to pay consistently over the full term of your lease.  So what should you expect?

  • Be able to provide the last 2 years of income tax statements to provide evidence that your business is doing well
  • Be able to provide bank statements for the past 2 months. -Your banks statements obviously show solvency. Rule of thumb? Have at least 8 months of more “Surplus cash” in your bank acct. Example: If you are renting a warehouse for $3,000.00 per month (all in) , you should have at least $24,000 cash in the bank.  The more the better.
  • Startups same rule as above with bank statements, however be ready to be asked to sign a personal guarantee when you execute your warehouse lease.

 

Austin warehouse construction | Q2 2017

Posted by on Sep 25, 2017 in Austin Real Estate News, Austin warehouse space for lease, Warehouse property for Sale | 0 comments

Austin warehouse construction growing

With Austin’s industrial market still below 10% for the past year , Austin warehouse construction is starting to see some emphasis. For the most recent quarter, occupancy rates remained the same with still positive occupancy.  New Austin warehouse construction delivered during the 2nd quarter of 2017. Most of the new construction was delivered in the Southeast sub-market. The SE sub-market has always been one of the highest concentrations of industrial product for the Austin area.  Of the 800,000+ SF of warehouse construction, 80% of it was done in the Southeastern part of the warehouse market. Developers are still looking to develop more warehouse properties with an additional 400,000+ SF of product.

Sub-Markets and concentration of inventoryAustin Land Development

The Southeast sub-market is very popular due to its proximity to Interstate 35 , Highway 71 and Austin Bergstrom Airport. The top performing sub-market by popularity for the 2nd quarter of 2017 was Hays County and Round Rock.  Shire Commercial is currently working with a developer to develop in Northeast Austin towards the Hutto sub-market where inventory is not in high supply.  Regarding inventory concentrations, if you are a Buyer and looking for warehouse properties for sale , inventory still remains fairly tight.  Stand-alone warehouses with small footprints and a yard are difficult to locate and requires a buyer to look in secondary markets or small towns typically. Pricing for warehouses will remain higher for the near-future.  Lease rates are fairly static and not moving off their highs for 2017 and we expect this to continue thru the third quarter until more inventory is put onto the market and demand winds down a bit.

Austin Industrial Market | Q2 2017

Posted by on Aug 7, 2017 in Commercial Real Estate Austin, Warehouse space for lease | 0 comments

Austin Industrial Market  | Q2 2017

Austin’s industrial market is still fairly tight , vacancies did move upward since the 1st Quarter of 2017. We are still hovering below 9% vacancy rates. In some sub-markets the vacancy rates are as low as 2.2% , currently the Northwest area of Austin has the lowest vacancies. We tend to get a lot of calls regarding industrial space that is below 4000SF and a prospective tenant wants a dock high and 18 wheeler access.  For tenants looking for this type of solution, it will be a tough haul. Within the Austin Industrial Market, a warehouse that is built with a small footprint below 4000SF will not have 18 wheeler access with a dock door. Our advice on this would be to change your parameters.

Industrial Market pricing

Leasing rates for the Austin Industrial Market are staying unchanged for the most part heading into Q2 2017, with average rates coming in around $10.50/psf /yr or $0.88 cents per square foot per month without NNN expenses included.  Expect most of the industrial properties to be prices into the high $0.80 cent range to $1.10 ranges for the near future with expenses. It always depends on the vacancy and sub-market you are interested in, it is not a static number. Also it is always important to keep in mind as a tenant or a buyer, that the market you are interested in is the market you should focus on, comparing your market if you are out of state or in a different city is a futile exercise and really doesn’t have a bearing on what is going on in the target market you are interested in.  If you are budget constrained, then you should look at markets that support your expense forecasts for rent and not make the mistake of expecting the Austin Industrial Market to change for you.  When demand is high and supply is low , we will always have higher rates for leasing and purchases of warehouse properties in Central Texas.Warehouse update Texas

Warehouse Construction

The highest concentration of warehouse product will be in South East Austin over 600,000SF of new construction being developed. There is a push in the Austin industrial market for new inventory and with the current positive absorption in the near term, it is predicted to be stable without a big correction, however nobody ever really knows how the market will move timing wise.

 

Austin Warehouse Market | Q1 2017

Posted by on May 9, 2017 in Austin warehouse space for lease, Small Warehouse Market Monthly Report, Warehouse property for Sale, Warehouse space for lease | 0 comments

Austin Warehouse Market | Q1 2017

Here is quarterly report for the Austin warehouse market at the end of March 2017.  Current vacancies have remained relatively the same at 7%  with occupancies continuing to stay very high in the Austin Texas and Central Texas area.  Market fundamentals remain strong and average asking rents have increased since last quarter up $0.12 cents per square foot per year.  Demand continues and supply of  warehouse properties under 5000SF  has become even tighter. As a tenant looking to lease a property in the Austin warehouse market, maximum flexibility is required. Landlord’s today are looking for longer term deals, 2 yrs will not get much attention depending on the sub-market in which the warehouse property is located. Moving forward, near term projections are more of the same however with new warehouse properties on the market supply should become much better depending on the footprint that a tenant is looking for.

For Sale Warehouse properties for Q1 2017 , remains tight and the best sales prices are in the tertiary sub-markets. More details on : For Sale Properties

Warehouse Construction Projections

With demand continuing for 2017, construction is on the way currently with projections of 1M square feet of space , in Q1 2017, approximately 550,000SF of warehouse space was completed with 50% of new warehouses being supplied to the Southeast sub-market which next to the Northeast area has the highest concentration of warehouse properties in the Austin area.  The Northwest Austin sub-market with one of the lowest vacancies has approx 200,000SF of new construction taking place with the NE area coming in at 110,00 SF.