FAIRFIELD, Conn. The signs are noticeable all over Fairfield: Space Available for Rent. But the towns office and retail market is relatively stable, especially compared with others across the state.
Weve generally been below what the overall regional market shows for vacancy rates, said Mark Barnhart, Fairfields community and economic development director.
About 13 percent of Fairfields office space and 8 percent of its retail space was vacant as of Aug. 1, according Barnharts data. That shows little change from the same time in 2011, when office vacancies were at 12 percent and retail openings were 10 percent.
The retail figures, however, are missing three sizable parcels. The old downtown post office, which closed Saturday, is undergoing renovation and off the market. The Syms building on Commerce Drive, which has been empty since winter, is also unavailable for rent. And the nearby Planet Fitness building on Black Rock Turnpike sits in an industrial zone and doesnt factor into the calculations.
But Fairfields vacancy figures hold up better than other, larger markets in the state. For example, Stamfords office vacancy rate is closer to 20 percent, according to a study on Connecticuts economy by JPMorgan Chase. Hartfords is even higher, at nearly 25 percent.
Fairfield tends to maintain a more stable rate because of its smaller size and its overall economic strength, Barnhart says. Theres a pretty good demand for retail space here in Fairfield."
The Department of Community and Economic Development doesnt overtly try to drive tenants to Fairfield, preferring to take a neutral stance, according to Barnhart. But it does provide some help as an intermediary. For example, the department maintains a list of available properties on the town website and makes it available quarterly in hard copies.
Even with Fairfields vacancy rates low, however, the market still leans in favor of tenants. The average asking rent for office space in Fairfield is $27.70, according to a report published by real estate analysis firm Jones Lang LaSalle. That was only about five cents higher than at the same point in 2011, and nearly $5 lower than they countywide average. The companys analysts predict that office tenants in eastern Fairfield County will continue having the edge through 2013.
Its slowly changing, but not very much, Barnhart says. Tenants are still in the drivers seat in terms of dictating more favorable terms in their leasing.
Click here to follow Daily Voice and receive free news updates.
