Central Perimeter Continues to be One of the Strongest Submarkets in Atlanta:
GA 400, MARTA and free parking all make this vibrant submarket attractive to corporate users.
Scroll down to view full report by Josh Baine of Ackerman & Co. |
| Atlanta Office Space Market - Central Perimeter |
(Reported by)
Josh Baine
Vice President
Ackerman & Co.
jbaine@ackermanco.net
770-913-3923
Looking for space?
Josh has three years of CRE experience. |
Central Perimeter Submarket - 1st Quarter 2012
Effective Rental Rates
Class A office space: $20.00-$27.00 per SF
Class B office space: $16.00-$19.50 per SF
Class C office space: $14.00-$15.50 per SF
Concessions:
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Free Rent: One to one and a half months of free rent per year of lease term, outside the term. |
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Tenant Improvement Allowance: $3.00-$6.00/RSF per lease year. |
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Moving Allowance: $1.50-$2.00/RSF and generally included in the tenant improvement conversation. |
Absorption Rate: 103,920 SF in 4th Qtr. 2011*
Vacancy Rate: 22.32% in 4th Qtr. 2011*
* Source: CoStar Group, Inc.
New office projects in the area: Cox Enterprises continues to develop two 300,000-square-foot buildings in an effort to consolidate their operations. One building is expected to deliver summer 2012 and the adjacent building will follow in late 2012. Integra Construction is developing its new headquarters at 185 Allen Road. This Class B structure will feature LEED certification and will accommodate 16,000 SF spread over two stories. A remaining ground floor block of 4,109 SF is available with delivery in early 2012. Posted rental rates for the project are $18.50/SF on a full-service basis. Building signage fronting Allen Road is available as well as monument signage; this would make an excellent opportunity for a medical office tenant or professional services firm. Contact Andrew Walker with Colliers International for additional information.
Major office leases or announcements: The North Terraces has seen a great deal of leasing velocity over the last quarter. They were successful in signing AFC Enterprises for 56,370 SF scheduled for a 3Q 2011 move-in date. AFC develops, operates and franchises Popeyes restaurants. Alan Joel and Dan Granot with Joel & Granot handled the transaction for AFC. Ventyx also inked a deal with North Terraces to the tune of 55,257 SF and is scheduled to start packing 2Q 2012. Ventyx is a leading business solutions provider offering software, data and advisory services. Also, Frank Farrell with Ackerman & Co. signed a new deal with Federated Insurance for 8,600 SF at Two Premier Plaza.
The much anticipated Hammond half diamond interchange is open for business. Now the focus will be on the diverging the diamond interchange at I-285 and Ashford Dunwoody Road. 
Other trends in the submarket that should be noted: Central Perimeter continues to be one of the strongest submarkets in Atlanta. GA 400, MARTA and free parking all make this vibrant submarket attractive to corporate users. The submarket is experiencing the flight to quality as companies in Class B and C buildings relocate to Class A projects to take advantage of lower rental rates and a plethora of leasing concessions. In the last five quarters, the Central Perimeter Class B market has seen negative net absorption equaling more than 100,000 SF per quarter. |
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| Central Perimeter Premier Office Property Short-List* |
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200 Ashford Center North
200 Ashford
Center North
RATE:
$19.75/RSF
MAX CONTIG:
18,476 SF |
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| NAI Brannen Goddard |
|
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| 3,500 SF |
New |
Courtroom Connect |
Tenant Rep: Trevor Smith - The Wesley Company |
06/2011 |
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Ashford Green
4170 Ashford
Dunwoody Rd
RATE:
$21.00
MAX CONTIG:
24,994 SF |
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| Manulife Financial |
|
|
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Ashford Perimeter
4151 Ashford
Dunwoody Rd
RATE:
$18.50 (G)
MAX CONTIG:
115,398 SF |
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| Jones Lang LaSalle |
|
|
| 5,271 SF |
Renewal |
Courier Connection |
Tenant Rep: Rob Fisher, CBRE |
n/a |
| 644 SF |
New |
Calvin Giordano & Associates |
Tenant Rep: Ryan Fetz, JLL |
n/a |
| 4,266 SF |
New |
Belhaven University |
Tenant Rep: Liz Love, JLL |
n/a |
| 1,391 SF |
New |
State Farm |
Tenant Rep: Adriana Ceballos, KW Commercial |
n/a |
| 1,591 SF |
New |
CoreStaff |
Tenant Rep: Kevin Creel, CresaPartners |
n/a |
| 2,275 SF |
New |
IFIC |
Tenant Rep: Howard Garrett, Howard Garrett & Co. |
n/a |
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900 Ashwood
900 Ashwood Parkway
RATE:
$22.75
MAX CONTIG:
26,797 SF |
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| Transwestern |
|
|
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Atlanta REALTORS Center
Tommie Jackson Building
5784 Lake Forrest Dr.
RATE:
Inquire
MAX CONTIG:
273 SF |
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| Grayson Properties, Inc. |
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|
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Centrum at Glenridge
780 Johnson Ferry Road
RATE:
$21.50 (G)
MAX CONTIG:
23,892 SF |
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| Ackerman & Co. |
|
|
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Crown Pointe
1040 & 1050
Crown Pointe Parkway
RATE:
$21.50
MAX CONTIG:
17,608 SF |
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| Transwestern |
|
|
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Glenridge Highlands One
5555 Glenridge Connector
RATE:
$25.50 (G)
MAX CONTIG:
52,863 SF |
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| Transwestern |
|
|
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Hannover Park
100 & 200
Hannover Park Rd.
RATE:
$15.00 (G)
MAX CONTIG:
31,980 SF |
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Richard Bowers
& Company |
|
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| 4,119 SF |
N/A |
Mary Hall Freedom House |
Tenant Rep: Steve Barton, CBRE |
01/2011 |
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Lincoln Center
1455 Lincoln Parkway
RATE:
$18.50-19.50
MAX CONTIG:
64,500 SF |
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| Jackson Oats Shaw Corporate Real Estate |
|
|
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Northside Tower
6065 Roswell Road, N.E.
RATE:
$17.50
MAX CONTIG:
14,046 SF |
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| Baker, Dennard & Goetz |
|
|
| 749 SF |
New |
Kennridge Psychological Assocation |
Tenant Rep: N/A |
04/2011 |
| 384 SF |
New |
Jacobs Legal |
Tenant Rep: N/A |
04/2011 |
| 998 SF |
New |
Power Source International |
Tenant Rep: N/A |
03/2011 |
| 1,182 SF |
Renewal |
Dalton Mgmt |
Tenant Rep: Craig Goldberg / CBRE |
01/2011 |
| 1,843 SF |
Expansion & Extension |
Brain Tumor Foundation for Children |
Tenant Rep: Steven Katz, Newmark Knight Frank |
01/2011 |
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211 Perimeter Center
211 Perimeter Center Parkway
RATE:
$19.00-19.50
MAX CONTIG:
41,677 SF |
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| Jones Lang LaSalle |
|
|
| 23,178 RSF |
Renewal |
Wellcare |
Tenant Rep: Brad Haertel - Mohr Partners |
08/2011 |
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64 & 66 Perimeter Center East
64/66 Perimeter Center E.
RATE:
$18.75-$21.00 (G)
MAX CONTIG:
465,000 SF |
 |
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| Cushman & Wakefield |
|
|
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Perimeter Crossing at Lake Hearn
1200 Lake Hearn Drive
RATE:
$18.50
MAX CONTIG:
22,209 SF |
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| Scott & Associates, Inc. |
|
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| 21,000 SF |
New |
Nextraq Gina |
Tenant Rep: DeRaffele, Ackerman |
06/2011 |
| 11,000 SF |
New |
Walgreen Co. |
Tenant Rep: Kerry Davidsen, CBRE |
04/2011 |
| 7,400 SF |
New |
Children’s Orthopaedics of Atlanta |
Tenant Rep: Tom Kirbo, Kirbo Property Services |
05/2011 |
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Perimeter Summit
1001, 2002 & 3003
Summit Boulevard
RATE:
$25.00-26.00(G)
MAX CONTIG:
24,677 SF |
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| CBRE |
|
|
| 8,274 SF |
Expansion |
AutoTrader.com |
Tenant Rep: John Shlesinger, CBRE |
03/2011 |
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Premier Plaza I & II
5605-5607 Glenridge Drive
RATE:
$21.75 (G)
MAX CONTIG:
12,774 SF |
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| Ackerman & Co. |
|
|
| 8,520 SF |
New |
Federated Insurance |
Tenant Rep: John Thornton, CBRE |
06/2011 |
| 3,960 SF |
New |
GSG Investors |
Tenant Rep: Griff Sims, City Commercial |
07/2011 |
| 3,750 SF |
New |
The Benoit Group |
Tenant Rep: Grahame Wood, Richard Bowers & Co |
07/2011 |
| 4,600 SF |
Expansion |
Enviroscent |
Tenant Rep: Dave Smith, Joel Granot |
06/2011 |
| 5,260 SF |
Expansion |
Pollack Partners |
Tenant Rep: Craig Goldberg, CBRE |
07/2011 |
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Sterling Pointe
I & II
301 & 303 Perimeter Center North
RATE:
$19.25-20.50 (G)
MAX CONTIG:
74,228 SF |
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| Cushman & Wakefield |
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|
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The Terraces
400 Perimeter Center Ter / 115 Perimeter Center
RATE:
$22.50-23.50 (G)
MAX CONTIG:
215,000SF |
|
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| Cushman & Wakefield |
|
|
| 4,135 SF |
Renewal |
Kelly Services |
Tenant Rep: N/A |
01/2011 |
| 1,413 SF |
New |
Knowles Intellectual Properties Strategies |
Tenant Rep: N/A |
01/2011 |
| 1,739 SF |
Renewal |
Weatherly Seigel, LLC |
Tenant Rep: Mitchell Weatherly |
03/2011 |
| 3,063 SF |
New |
rDialogue |
Tenant Rep: Craig Mendel & Michael Lipton |
03/2011 |
| 566 SF |
Renewal |
E and E Technolgies |
Tenant Rep: Dina Lee |
03/2011 |
| 3,458 SF |
Renewal |
John Hancock |
Tenant Rep: Ernest Kiser |
04/2011 |
| 55,257 SF |
New |
Ventyx |
Tenant Rep: Josh Hirsh & Andy Lecter |
04/2011 |
| 1,412 SF |
New |
Kolon |
Tenant Rep: Young Koh |
04/2011 |
| 992 SF |
Renewal |
Lucia Ellis |
Tenant Rep: N/A |
07/2011 |
| 1,442 SF |
New |
Capital Lending |
Tenant Rep: N/A |
07/2011 |
| 1,784 SF |
New |
FiduciaryVest |
Tenant Rep: Tom Wesley |
07/2011 |
| 56,370 SF |
New |
AFC |
Tenant Rep: Alan Joel & Dean Granot |
07/2011 |
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| *Short-List represents featured properties inside Dorey’s Atlanta Office Guide. The Done Deals shown in this Short List are reported to us quarterly as a voluntary effort. It does not represent a comprehensive report of done deals for all Short List properties. |
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