Omaha 2Q2017 Market Report
Industrial space experienced strong absorption. Vacancy remains at 3.3 percent, making industrial spcae difficult to find. Two major construction projects include a 247,000 SF building for Oxbow Animal Health and a 209,000 SF building for Thrasher Foundation Systems.
While office absorption was not as impressive in the second quarter, the office market is healthy with vacancy down and rental rates up. Three major office construction projects include 228,000 SF HDR corporate headquarters building at AkSarBen Village, the 120,000 SF West Dodge Hills building southwest of 180th & West Dodge Road, and a 60,000 SF building near 132nd and Pacific.
The “clicks-versus-bricks” battle continues to take a toll on retail real estate but not as devastating a toll as some media coverage might make it seem. The Omaha retail market has experienced net negative absorption of more than 50,000 SF so far this year. Very little retail construction is going on in the market at this time and it is primarily very small strip centers or retail space being built as part of large mixed-use developments such as the Capitol District and AkSarBen Village (ground floor of the HDR building).