Demand Strengthens for Suburban Office Assets in Salt Lake City

SALT LAKE CITY, UT— Salt Lake City’s office market is expected to remain strong, underpinned by an increasingly tight downtown market that is forcing some demand into suburban areas, according to the 2008 National Office Report by Marcus & Millichap, the nation’s largest real estate investment services firm.

The metro’s educated work force and affordability continue to attract businesses, and 2008 will mark another year of above-average employment growth.

Also included in the report is the firm’s annual National Office Index (NOI), a snapshot analysis that ranks 43 office markets based on a series of 12-month forward-looking supply and demand indicators. Salt Lake City moves up 10 places this year to No. 20.

“The Salt Lake City office investment market is expected to remain active throughout 2008, as the metro’s healthy economic growth continues to attract buyers,” says Adam P. Christofferson, (photo at right) regional manager of Marcus & Millichap’s Salt Lake City.

Following are some of the most significant aspects of the Salt Lake City Office Research Report:

· Employers are expected to add 17,000 positions in 2008, an increase of 2.6 percent.
· Nearly 750,000 square feet of space will come online in the market in 2008.
· Vacancy is projected to end the year at 12.5 percent.
· Asking rents are expected to advance 4.5 percent to $19.03 per square foot, while effective rents will rise 4.8 percent to $15.72 per square foot.
· Investors may want to consider properties in Salt Lake City’s CBD.

In the 2008 NOI, Seattle moved up three places to secure the No. 1 spot, surpassing last year’s leader New York City, which slipped to No. 2. Boston moved up two spots to No. 3, while San Francisco jumped 12 places to the No. 4 position. Los Angeles slipped two spots, coming in at No. 5.

For a copy of Marcus & Millichap’s National Office Report and the complete NOI rankings, visit www.MarcusMillichap.com.

CONTACT:

Stacey Corso
Public Relations Manager
Marcus & Millichap
2999 Oak Road
Suite 210
Walnut Creek, CA 94597
Office: 925.953.1716
Mobile: 415.672.6460
Fax: 925.953.1710
http://www.marcusmillichap.com/