Dallas office space market

Tenant demand for Dallas office space and industrial space in North Texas will remain sluggish. According to preliminary third-quarter research rent will remain flat for the rest of this year and into 2010.

Demand for Downtown Dallas Commercial Real Estate dropped 43% through September when compared to 2008. Only 7.16 million square feet leased year-to-date, compared to 12.6 million square feet leased last year at this time.The overall office vacancy rate stands at 21.9 percent, up from 20.7 percent in September 2008. The vacancy rate for the Dallas Central Business District is approaching 30%, jumping from 26.5 percent a year ago to its current 29.1 percent. The downtown vacancy rate hasn't been this high since the third-quarter of 2005, when it hit 29.8 percent.