Date Posted: May 29, 2009
Colliers International has just released their latest Auckland Industrial Market Indicators report.
Rental rates fell across Auckland's industrial markets over the past six months. Incentives have become a key component in the lease negotiation process for landlords hoping to secure potential tenants. One consequence of increasing tenant's bargaining power is that many leases are being signed for short terms, say three to four years, reflecting a weakened tenant demand.
Increasing competition for tenants from the sublease market, not a traditional feature of the industrial landscape, has been putting additional pressure on the sluggish leasing market.
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