Conditions in the U.S. office markets are aligning in a way that office investors have waited patiently for, according to a recent article from CoStar Group: (1) CoStar’s 3Q 2014 analysis finds more U.S. Markets are seeing rent and NOI growth driven by strong demand and constrained supply. (2) It’s a great time to take occupancy risk with the U.S. vacancy rate expected to continue trending down from over 12% a year ago to dip below 11%, according to CoStar’s director of office research. (3) The country is on target for 74 million – 80 milion sqaure feet of net office space absorption for 2014 as both CBD and suburban office markets experience strong leasing activity.
KBS REIT III has been using an investment strategy since 2011 focused on acquiring a growing portfolio of Class A, multi-tenant office properties in top job growth markets nationwide. (Objectives: Preservation of Capital, Income, Growth)