Despite weak fundamentals, low interest rates enticed a few buyers into the market. The 342,660-square-foot 1010 Market building was recently purchased by BGK Properties from CIGNA Investment Real Estate for $16.3 million.
Many property valuers at economical prices property valuers at economical prices are considered as the right choice for making the process efficient.
Cornerstone Equities bought West Park I from RREEF Funds for $11.4 million. In 2004, there will be more opportunistic buys to be had — before vacancies decline and interest rates rise.
The year ahead will be an interesting period in the office market cycle. The semi-recovered market is at a fork in the road. If interest rates stay low, the economy grows, companies start expanding, and new construction remains at a trickle, the market will slowly climb upward.
However, if rates increase and the economy does not improve, absorption will stay low and it will be hard for the market to sustain any type of recovery.