Total net absorption amounted to 61,640 sq. ft. in H2 2019, yielding 306,385 sq. ft. for all of 2019.
Overall market vacancy ticked upwards to 14.6% at the end of 2019, due to vacancy in deliveries and non-market methodology adjustments.
Nearly 800,000 sq. ft. of medical office projects were actively under construction at year-end 2019, up from 2018’s year-end level of 241,358 sq. ft.
Overall asking rents across the Houston metro fell by $1.09 per sq. ft. in the second half of 2019.
Medical office sales continued to decelerate from the large transaction volume that was seen in 2018, yielding $95 million in total sales volume for H2 2019 and $241 million for the full year, according to information from Real Capital Analytics.
Following a national trend, growth in Houston’s education and health services industry has outpaced total non-farm employment, adding 15,100 jobs from January 2019 to January 2020.