Austin Industrial Tenant Outlook

The commercial real estate market remains unstable and vacancy rate in the industrial market is 20%. The amount of troubled industrial assets appears to be limited at this point, compared to other property types. While they do exist, the number is not significant enough to cause values to fall much lower than the current numbers. Secondly, although vacancy is high right now, the good news is that new construction will be non-existent for quite sometime. This situation will bode well for the market as the economy continues to recover.