KC's Q4 Highlights with Newmark Grubb Zimmer

OFFICE

Kansas City’s office market isn’t doing too bad. Asking rental rates are up and vacancy is down, but speculative office development continues to lag. One of the most interesting trends to watch is the high demand for flexible office options in 2017. From Plexpod’s massive coworking project in Westport to Edison Spacesprivate team offices in Leawood, demand continues to grow for variable leases and space amenities with built-in support systems.

Read the Q4 Office report here.

INDUSTRIAL

The industrial market is more aggressive than ever, with 1.2 million square feet of net absorption in the fourth quarter and an increase in average quoted rents from $0.14/SF to $4.77/SF. A total 1.6 million square feet was delivered that quarter, while another 8.5 million square feet is planned for delivery. CVS, Amazon, and GM gobbled up the biggest leases, ranging from 450,000 to more than 800,000 square feet.

Read the Q4 Industrial report here.

RETAIL

Kansas City’s retail market has tightened over the past year as the overall vacancy rate drops, but it’s still strong -- especially in submarkets like Lee’s Summit. The East Jackson County suburb is one of the fastest-growing cities in the state, proving itself a market leader in retail and mixed-use development. Watch for a number of significant projects in Lee’s Summit, including the 72-acre, $225 million mixed-use plan called Village at View High, as well as the $400 million mixed-use soccer village Paragon Star.


Read the full Q4 Retail report here.