Trends In Commercial Lease & Sale Prices The Last 3 Years
For Sale
Industrial
The industrial sector sale prices increased at the start of Covid in 2020 from $36/SF to $44/SF, but then plateaued and settles at $41/SF recently. New Orleans completely missed out on the nationwide explosion in warehouse space driven by Amazon and the ecommerce industry.
Office
The office sector declined in price from $125/SF to $110/SF by April 2021, but then 2 properties sold in March 2023 averaging $211/SF. These 2 sales are outliers since the average sale price the last 3 years has been $133/SF. There are currently 103 office properties for sale totaling 1.1 million square feet and asking an average of $156/SF and on the market an average of 99 days.
Retail
There are 134 retail listings for sale totaling 1.1 million square feet at an average price of $193/SF and on the market for 250 days. Last month there were 9 properties sold averaging $215/SF but the average sale price since July 2020 has been $170/SF.
Shopping Center
There are only 10 shopping centers for sale in the New Orleans/Metairie MSA, so prices can be skewed since the total sale market is only 235,000 square feet and the average property is 23,000 SF. The average sale price the last 3 years has been $112/SF but no shopping centers have sold within the last 7 months.
For Lease
Industrial
The industrial sector sale prices increased at the start of Covid in 2020 from $36/SF to $44/SF, but then plateaued and settles at $41/SF recently. New Orleans completely missed out on the nationwide explosion in warehouse space driven by Amazon and the ecommerce industry.
Retail
There are 134 retail listings for sale totaling 1.1 million square feet at an average price of $193/SF and on the market for 250 days. Last month there were 9 properties sold averaging $215/SF but the average sale price since July 2020 has been $170/SF.
Office
The office sector declined in price from $125/SF to $110/SF by April 2021, but then 2 properties sold in March 2023 averaging $211/SF. These 2 sales are outliers since the average sale price the last 3 years has been $133/SF. There are currently 103 office properties for sale totaling 1.1 million square feet and asking an average of $156/SF and on the market an average of 99 days.
Shopping Center
There are only 10 shopping centers for sale in the New Orleans/Metairie MSA, so prices can be skewed since the total sale market is only 235,000 square feet and the average property is 23,000 SF. The average sale price the last 3 years has been $112/SF but no shopping centers have sold within the last 7 months.
