Austin Tenant Advisors, a commercial real estate agency based in Austin, TX, says that companies need to prepare themselves and plan in advance as warehouse space base lease rates in Austin have been slowly increasing over the last couple of years due to high demand and low inventory. The NNN rates, which is the triple net lease, have also been going up mainly because of the taxes. NNN rates are the industrial property's operating expenses which include taxes, insurance, and common area maintenance.
The NNN for industrial properties used to range from $0.25 to $0.35 per month. Now they are ranging from $0.30 to $0.50 per month. Currently, the average base rates for bulk warehouses have been hovering in the range of $0.58 to $0.70 sf per month. The average NNN for the bulk warehouse ranges from $0.30 to $0.50 per month. For an industrial flex office, which is industrial property that has both office space and warehouse space, average base rates are anywhere from $1.10 to $1.33 per mo while the average NNN rates for the same are around $0.30 to $0.50 per month.
The following are the rates for warehouse space for rent Austin TX, geographically. In Southwest Austin, the office warehouse rates per month and per year are $1.40 and $16.80 per square foot. In North Austin, the bulk warehouse rates per month and per year are $0.60 and $7.20 per square foot while the office warehouse rates per month and per year are $1.35 and $16.20 per square foot. In Northwest Austin, the bulk warehouse rates per month and per year are $0.85 and $10.20 per square foot while the office warehouse rates per month and per year are $1.42 and $17.00 per square foot. In South Austin, the bulk warehouse rates per month and per year are $0.83 and $10.00 per square foot while the office warehouse rates per month and per year are $1.25 and $15.00 per square foot. In Central Austin, the bulk warehouse rates per month and per year are $0.60 and $7.20 per square foot while the office warehouse rates per month and per year are $1.42 and $17.00 per square foot. In Southeast Austin, the bulk warehouse rates per month and per year are $0.55 and $6.60 per square foot while the office warehouse rates per month and per year are $1.17 and $14.00 per square foot. In Northeast Austin, the bulk warehouse rates per month and per year are $0.70 and $8.40 per square foot while the office warehouse rates per month and per year are $1.17 and $14.00 per square foot. These rates and prices are only the base rates for Austin warehouse space. Expect to also be responsible for the operating expenses (aka NNN) on top of these charges.
"If you are looking to lease warehouse space in Austin, it's important that you start the process at least 6-12 months before your existing lease expires or before your ideal move in date, said Nathan K Smith, the commerical real estate company founder. Warhouse space occupancy rates are at an all time high and activity is strong which means it will take longer to find and negotiate the ideal space. It's also important that companies plan for higher rates especially those with upcoming renewals. Landlords will still negotiate, however not at the level 3-5 years ago."
Austin Tenant Advisors has an insider's view on warehouse space for rent in Austin Tx. Nathan Smith, with over 400 commercial transactions under his belt has dedicated the last 15 years to helping customers find the best Austin Industrial real estate spaces for lease, rent, or sale. They help companies small and large in the search, selection, negotiation, and occupancy of warehouse space, manufacturing space, retail warehousing, R&D buildings, and Flexible office & warehouse space for lease in Austin TX. Whether the customers are a startup or existing company Austin Tenant Advisors has the tools, experience, and resources to ensure they have the best experience possible.
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How their services work: First they get a good understanding of the client’s ideal size, location, timing, and budget. Then they will identify every property that matches the client’s current and future needs and send the client a complete report with a map overview, photos, and pricing. From there they will schedule tours, draft proposals, and negotiate on the client’s behalf to get the best deal possible. Austin Tenant Advisors has over 15 years of experience in tenant representation negotiating new leases, commercial lease renewals, expansions, and purchasing commercial real estate properties in the Austin, TX metro. Austin Tenant Advisors only represent the Tenants best interests, and never the landlords, which means all clients get unbiased advice and a commercial agent on their side.
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For more information about Austin Tenant Advisors, contact the company here:
Austin Tenant Advisors
Austin Tenant Advisors
(512) 861-0525
info@austintenantadvisors.com
1300 Guadalupe St #250
Austin, Tx 78701
