Ordinance 3613-18 - Laserfiche WebLink

Metro Everett's "quoted" office lease rate was $19.08 (average) at the end of 2015, well below the regional average of$30.66. There are "Class A" office properties that achieve leases well above the average, and "Class B and C" properties that charge less. The average rent provides a useful measure to current office demand. Net absorption for 2015 in Metro Everett was slightly less than 40,000 square feet. 10-year .'�� , r, Absorption -0_ 'I•P77�ry INa Total sf Vacant sf (low) , " • . ' Metro Everett 2,214,161 99,125 202,508 w .. .,ll �, =.o .r Everett 6,080,616 394,075 981,915 „ , ij c' Market Area 10,593,786 837,963 1,721,917 Metro Everett as % of `” _ i Market 21% 12% 12% % f'. , J : I/i Everett as % of Market 57% 47% 57% Metro Everett as % of25/ 21% Figure 4:This building at 1812 Hewitt Avenue is an example of Everett 36o� renovated buildings for office space that has taken place in the past decade in Metro Everett Table 2:Key Office Space Metrics(Source:CoStar,Leland Consulting Group) Retail Forecast Retail in Metro Everett is generally small to medium size, while large-format retail is located elsewhere. The greatest amount of space required is in the non-traditional retail space such as medical office, banks, and cinema space; food and beverage (largely grocery stores); and general merchandise. The largest component of demand is from household growth; as the number of households increase, the demand for retail will increase. LCG projected 170,000 to 300,000 square feet of retail demand for Metro Everett over the next 10 years (see Figure 5). The amount is dependent on residential and employment growth, retail trends, construction costs, and other factors. Retail most likely to locate in Metro Everett, according to LCG, is "experience" retail, such as restaurants and pubs. These businesses do not Chapter 3,Market Analysis 4 August 29,2018