Page 13 - NBIZ Magazine August 2023

Executive Summary infrastructure investments will better in both lease renewals and new lease
The Houston industrial commercial position the port as a competitive alter- transactions. The sustainability of this
real estate market continues to display native to east and west coast ports. rent growth for the remainder of the
steady activity and resiliency through year will be contingent on the status
the second quarter of 2023. The rise in Rent growth trend sustainable? of the larger sublease spaces currently
vacancy from 5.7% during first quar- The recent rent growth trend available (Broad Range, Safavieh,
ter to 6.2% in second quarter is more remains robust in the Houston Article, Snow Joe, Wayfair), which
a result of new construction delivery industrial real estate market, with may create some downward pressure
and less due to tenant moveouts. Of increasing rates favoring landlords on rents. The sublease availabilities,
the 9.5 million square feet of new
supply this quarter, approximately
47% was preleased upon delivery.
The construction pipeline cur-
rently totals 29.5 million square
feet, a drop from the 34.8 million
square feet in the first quarter.
Construction starts have slowed due
to constrained capital and continued
upward pressure on interest rates. EMPLOYER
Tenant demand also slowed BENEFIT SERVICES
during the second quarter, generat-
ing 7.5 million square feet of leasing
activity. This activity, combined with
the stronger leasing activity of prior
quarters, led to another period of
positive net absorption for Houston,
with the mid-year total close to 8.7
million square feet. (Comparison:
Dallas/Fort Worth reports approxi- PLAN PAYROLL BENEFIT
mately 9.2 million square feet of net ADMINISTRATION MANAGEMENT PACKAGE
absorption through midyear.) Assistance and research Get your employees MARKETING
The majority of absorption to keep you informed paid quickly so you Document
occurred with large deals in the and in compliance with can get back to doing administration of
what your company
401(k) and 403(b)
state and federal laws.
high-demand, port-centric South and does best. including employee
Southeast submarkets. Notable lease enrollment assistance.
commencements include Quantix
at AmeriPort for 1.2 million square
feet (both landlord and tenant rep by
Colliers Houston), and in the South,
with Penske occupying 603,780
square feet at IDV’s South Belt
Central Business Park.
The continued robust activity of
the South and Southeast submarkets
CLAIMS
HUMAN
BENEFITS
has been buoyed by the Port of Hous- MANAGEMENT RESOURCES EDUCATION AND
ton’s continued growth. The port is When a claim is CONSULTING CONSULTING
still operating at well above historic made, we assist in the Develop policies and Cra a competitive

averages regarding container process, from the first procedures, address employee benefits plan
to recruit and retain
recruiting strategies,
volume, although June 2023 volume filing of the claim to its develop job descriptions. valuable employees.
resolution.
is down 2% from the record-breaking
2022. This decrease could signal
a return to a more normal global
supply chain shipping patterns. PUTTING ALL THE HEALTHCARE
The outlook remains optimistic at BENEFIT PIECES TOGETHER
Port Houston with Union Pacific OFFICE
announcing a new on-dock rail 713-647-9700 ONLINE
www.corebenefits.net
service to help streamline containers
from ships directly to railcars. Such
NBIZ ■ August 2023 13