The Charleston office market remained relatively stagnant through the first quarter of 2023. Overall, vacancy edged up slightly from 7.2% to 7.8%, and average rents remained virtually the same at $30.76. These are nominal changes considering inventory increased by a few hundred thousand feet.
The Charleston MSA retail market continues to experience limited vacancy due to several factors such as high construction costs, difficulty in entitlement with municipalities, and impact of increasing interest rates.
The Charleston Industrial Market remains a favorable environment for both developers and sellers, with over one million SF in speculative developments added to the pipeline in Q1 2023.
2022 was one of the strongest years for Charleston’s industrial market. In the last quarter of 2022, the industrial market continued to experience positive net absorption.
The Charleston retail market remains strong with a vacancy rate hovering at record lows. There is little expectation of much addition to the retail inventory despite the residential growth in the region. Developers are still challenged by land cost, construction costs and the continued difficulties surrounding entitlement and permitting within the area municipalities.
Q4 Office leasing statistics showed a continuation of a steady, yet relatively slow level of activity. With a combination of economic concerns and the holiday season, major market metrics remained fairly unchanged.
3Q22 Office Snap Shot
3Q22 Retail Snap Shot
3Q22 Industrial Snap Shot
2Q22 Industrial Snap Shot