The Tri-Cities office market saw investment sales slow in the fourth quarter, according to a report by Colliers International.
Pasadena, the largest office submarket in the Tri-Cities, home to 76 of its 199 office buildings, saw the biggest sale: 3452 East Foothill Boulevard sold for $44.5 million, or $566 a square foot, to Panda Restaurant Group.
Pasadena has a total of 8.5 million square feet of office space, a significant portion of which is occupied by technology and engineering firms. In the fourth quarter, 14.5 percent of that space was vacant, down slightly from 14.8 percent in the third quarter. Pasadena’s vacancy was higher than the Tri-Cities average of 14.4 percent.
The submarket saw 262,700 square feet of leasing activity and 19,600 square feet of net absorption. Its average asking rent was $2.87, just above the Tri-Cities average of $2.83.
No construction was completed or started in the fourth quarter.