Real Estate - Sarasota, FL – 2018 Office Transaction Summary (2,000 SF to 5,000 SF)
We have analyzed office sales data from the Sarasota market for 2018. Precisely 26 sales were reviewed and summarized. These were smaller to medium office properties in the 2,000 SF to 5,000 SF size range. Transactions were well dispersed throughout the year with the most transactions occurring in the 2nd quarter. The average price per square foot was the greatest in the 1st quarter of the year, but we note that the 1st quarter had the lowest number of transactions. The 2nd quarter adjusted toward a much lower average price per square foot from the 1st quarter and we inversely observe a spike in transactions. Total transaction volume for this small office market segment totaled approximately $17.3 Million for 2018 and the average price per square foot for all transactions for 2018 was $197.94/SF with an average building size of 3,257 SF. On a quarterly basis the price per square foot analysis is as follows:
· 1st Quarter 2018 – 4 Office Sales: Average Price per SF = $233.57
· 2nd Quarter 2018 – 9 Office Sales: Average Price per SF = $178.64
· 3rd Quarter 2018 – 5 Office Sales: Average Price per SF = $182.84
· 4th Quarter 2018 – 8 Office Sales: Average Price per SF = $202.09
· Full Year 2018 – 26 Office Sales: Average Price per SF = $197.94
Real Estate - Sarasota, FL – 2019 Office Transaction Summary (2,000 SF to 5,000 SF)
We have analyzed office sales data from the Sarasota market for 2019. Just under 15 sales were reviewed and summarized. These were smaller to medium sized office properties in the 2,000 SF to 5,000 SF size range. Transactions were well dispersed throughout the year, with the 2nd quarter showing the highest number of transactions. We note a spike in average price per square foot in the 3rd quarter that is dictated by a single transaction. Total transaction volume for this small office market segment totaled $5.7 Million for 2019 and the average price per square foot for all transactions for 2019 was $163.67/SF with an average building size of 3,453 SF. On a quarterly basis the price per square foot analysis is as follows:
· 1st Quarter 2019 – 3 Office Sales: Average Price per SF = $93.67
· 2nd Quarter 2019 – 6 Office Sales: Average Price per SF = $113.37
· 3rd Quarter 2019 – 1 Office Sales: Average Price per SF = $366.06
· 4th Quarter 2019 – 4 Office Sales: Average Price per SF = $201.18
· Full Year 2019 – 14 Office Sales: Average Price per SF = $163.67
Sarasota Office Market (2,000 SF to 5,000 SF) - Year over Year Changes (2018 to 2019)
Average Size Building Sold – 6% increase in the average building size sold from 3,257 SF to 3,453 SF
Price per Square Foot – 17.3% decrease in average $/SF from 2018 to 2019
Number of Transactions – 46.2% decrease in the # of transactions from 2018 to 2019
Dollar Volume of Transactions – 67% decrease in the total $ volume for transactions from 2018 to 2019
Thank you for your interest. For more information on the Sarasota Office Market or to discuss your property valuation needs feel free to contact:
Mike Cliggitt, CCIM, MAI, MRICS
Commercial Realtor
813.810.1615 Direct Line
Sarasota Office Real Estate Advisor