A corporate property owner had an interest in developing office space on land he owned. The owner was also considering development on an adjacent land parcel that he did not control. He approached Allegro to conduct an office market conditions assessment of the area surrounding the site to determine if demand existed to support additional office space in the market.
Allegro conducted a study of the current office market conditions in the area surrounding the property owner’s site. The study included a site analysis, market and submarket trends, existing supply, forecasted supply, demand, and identified gaps in the market.
Allegro first determined the key characteristics of the site that it then used to identify comparable properties and sites. Next, they considered key market indicators such as vacancy, absorption, rental rates, and delivery of new product. Allegro then researched new developments in the area, all of which were in various stages of planning and progress. They evaluated the level of demand that had recently occurred and used that information to project the level that could be expected in future. Based on the assessment, Allegro was able to identify existing gaps in the local office market.
Ultimately, Allegro’s report allowed the property owner to make a thoughtful and well-informed decision whether to take further steps toward development.