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Lubbock, TX

Apartment
The Lubbock apartment market, fueled by Lubbock's growing population and healthy economy, continues to perform well in 2016. According to a recent market survey, the weighted average rental rate of Lubbock apartments is $0.88 per square foot, which is identical to 2015's average. Recently-constructed apartment properties typically exhibit more aggressive rental rates, often exceeding $1.00 per square foot, while rental rates in older properties are often around $0.80 per square foot. Occupancy, meanwhile, is on an upward trend, rising nearly 2.0% from 92.4% in early 2015 to 94.3% in early 2016. Encouraged by these favorable conditions, a number of developers are constructing new apartment properties in the Lubbock market. These new complexes will bring hundreds of new units to the Lubbock apartment market in the years ahead. Source: INSIGHT market report, Coldwell Banker Commercial Capital Advisors VIEW APARTMENT LISTINGS >
Industrial
After suffering a decline in rental rates and occupancy levels during 2011 and 2012, the Lubbock industrial market has since rebounded and is yielding impressively high occupancy levels. Rental rates have hovered between $3.50 and $3.75 per square foot per year for the past three years. Early in 2016, the weighted average of rental rates was $3.66 triple-net. The aggregate occupancy of the industrial market was 97.9% in early 2016-0.4% below the early 2015 occupancy level. For four years in a row, the Lubbock industrial market has maintained occupancy levels above 95.0%. These high occupancy levels reflect a strong industrial market across Lubbock, creating promising opportunities for investors and real estate owners. Source: INSIGHT market report, Coldwell Banker Commercial Capital Advisors VIEW INDUSTRIAL LISTINGS >
Office
Rental rates in the Lubbock office market vary significantly depending on the lease structure. For triple-net and modified gross leases, rates usually range between $9.00 and $18.00 per square foot per year. Full service rental rates tend to be more aggressive, ranging between $10.00 and $24.00 per square foot per year. The full service rental rate weighted average in early 2016 was $16.20 per square foot per year. The most aggressive rental rate structures can be found in south Lubbock, where significant new construction is ongoing. Occupancy levels in the Lubbock office market have recently been on the upswing, rising 3.8% between early 2015 and early 2016. Source: INSIGHT market report, Coldwell Banker Commercial Capital Advisors VIEW OFFICE LISTINGS >
Retail
Rents in the Lubbock multi-tenant retail market mostly range from $6.00 to $25.00 per square foot per year triple-net. The most aggressive rental rates are in south Lubbock, where the bulk of new development is located. Average rents in south Lubbock have increased since 2015 but average rents in central and north Lubbock have decreased slightly. The weighted average occupancy of multi-tenant retail properties was unchanged between 2015 and 2016, remaining at 90.3%. 2016 continues to be an exciting year for Lubbock's retail sector due to the new construction across the city. The new developments, most of which is taking place in south and west Lubbock, are bringing thousands of square feet to the market and attracting many well-known restaurants and retailers to the city. Source: INSIGHT market report, Coldwell Banker Commercial Capital Advisors VIEW RETAIL LISTINGS >

Source: Data provided by Reis, inc.

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