Regional Summaries

Select a state to view available market snapshots

San Jose, CA

The San Jose metro area apartment market is perennially tight. Fourth quarter 2015 vacancy was just 3.9%, a gain of 10 basis points for the period and a gain of 110 for the year. While still robust, rent growth slowed somewhat in 2015. At $2,080 and $2,025 per month, asking and effective averages for the year represented year-over-year gains of 6.7% each. Growth rates for the quarter alone, however, were unchanged and negative 0.2%. With no new projects delivering in January 2016, net absorption for the month ran at 201 units, the vacancy rate decreased by 20 basis points, and gains of 0.2% asking and 0.3% effective were reported. VIEW APARTMENT LISTINGS >
Given the huge role played by high-tech industry in Silicon Valley, the local Flex/R&D real estate market, counted by Reis at 64.6 million square feet, is nearly twice as large as the 34.6 million square feet that comprise the local warehouse/distribution market. Vacancy in the Flex/R&D ended 2015 at 15.7%, a decline of 120 basis points since year-end 2014 that included a loss of 40 during the final quarter. Rent growth, while slowing in 2015, has been substantial. Average fourth quarter asking and effective rates for Flex/R&D space were high at $14.52 psf and $13.03 psf, up 2.1% and 2.4% for the year. Respective increases for the final quarter alone were 0.7% and 0.8%. January 2016 followed with 25,000 square feet if net absorption alongside no new supply deliveries, gains of 0.1% for both mean rents, and no change in the vacancy rate. Vacancy in the San Jose warehouse/distribution market ended 2015 at 12.6%, unchanged during the final quarter but down 100 basis points from a year earlier. At $7.15 psf and $6.54 psf, also quite high by national norms, fourth quarter mean asking and effective warehouse/distribution space lease rates were up 2.0% and 2.3% for the year. Increases of 0.6% are indicated for both rates for the final quarter. January followed with 5,000 square feet of positive net absorption, no new warehouse/distribution space deliveries, a 10-basis-points decrease in the vacancy rate, and gains of 0.1% and 0.2% for the average asking and effective rents. VIEW INDUSTRIAL LISTINGS >
San Jose area/Silicon Valley general purpose, multi-tenant office market fourth quarter 2015 marketwide vacancy was 16.2%, down 160 basis points for the year, down 70 points during the latest quarter. At $36.44 psf and $29.15 psf, fourth quarter asking and effective averages as reported by Reis were up 5.9% and 6.2% for the year. Respective gains for the latest quarter alone were 1.8% and 1.9%. VIEW OFFICE LISTINGS >
Fourth quarter 2015 vacancy in the San Jose community-neighborhood shopping center market was just 4.3%, down 10 basis points for the period, up 10 for the year. At $33.70 psf and $29.56 psf, very high by national norms, fourth quarter average asking and effective rents for community-neighborhood center space were up 3.7% and 3.8% for the year. Fourth quarter increases were 1.0% for both rates. At $39.93 psf, the fourth quarter mean asking price for non-anchor power center space was up 3.6% year-over-year. The negative net absorption reported for the community-neighborhood center sector for January 2016 was accompanied by a 40-basis-points increase in the vacancy rate and an essentially flat performance for average rents. VIEW RETAIL LISTINGS >

Source: Data provided by Reis, inc.

Commercial Real Estate Market Information

Coldwell Banker Commercial has commercial real estate market statistics to help you find out more about your local commercial real estate market. Whether you are looking for commercial real estate market trends or information on a commercial real estate markets size, we have the commercial real estate market reports you need. If you did not find the commercial real estate market information you were looking for contact us today!

White Papers



Additional Resources