Raleigh, NC Commercial Real Estate

Raleigh, NC Commercial Real Estate Market

The Raleigh office space market is seeing an interesting trend in which the asking prices for office spaces have increased and the number of available listings for industrial and retail properties have gone down in the past two years. This can be explained by the rapid expansion of local companies combined with the migration of several newer companies that want to take advantage of the booming workforce in Raleigh.

Downtown (Old Raleigh) has had nearly $3 billion invested in the development and expansion of several properties that include businesses, offices, hotels and stores. Projections show that a grand total of 4 million square feet will be added to the downtown area, with a million square feet going exclusively towards new office space. Tech company Red Hat moved 630 of its employees to occupy Downtown Raleigh office space in 2002, and many more enterprises have followed suit since then.

North Raleigh can be described as the ‘best of both worlds’. On the one hand, the North Raleigh office market contains over 100,000 square feet of rentable office space and millions of square feet taken up by major retailers like JC Penney and Millar. On the flip side, the presence of two 18-hole golf courses attracts many affluent individuals who will happily purchase the multi-million dollar homes located right beside them. Business and pleasure are mixed together in this prestigious part of the city.

South Raleigh has been ignored with respect to the construction and development of commercial office space due to several development regulations. However, with several new investments from various medium businesses, the South Raleigh office market could look more promising in the near future, as it aims to blend in with the infrastructure of Downtown Raleigh.

East Raleigh is largely a residential area in which buyers can find generally lower priced homes. Small mom & pop shops, along with the WakeMed Raleigh Campus, are the only real properties that take up any noticeable East Raleigh office space in this region of the city.

The West Raleigh office market primarily includes the fine arts and education, with little in the way of retail or business. It is also home to the prestigious North Carolina State University in which students can get a well-rounded education and qualify themselves for the job opportunities available in busier sections of Raleigh. Overall, you can expect to find several smaller-name amenities concentrated in this neighborhood.

Employment in Raleigh, NC

Raleigh boasts a low unemployment rate of 4.30% (vs. the national average of 5.20%) and a stunning job growth rate of 3.48%, making it one of the most prosperous economies in the country. In particular, the most abundant sectors are government, science, healthcare, sales and materials transportation. Numerous logistics systems allow for the easy and effortless transportation of materials in and out of the city. Therefore, Raleigh is transforming into a hotbed for job opportunities. This is particularly attractive for anyone who is looking for new employment with competitive salaries and direct connections to powerful research facilities.