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Cleveland Market Overview

By Andrew Coleman & J.R. Fairman, Jones Lang LaSalle

Deal and tour velocity picked up in the third quarter as employment increased by nearly 41,000 from April through July. Employment growth in the manufacturing and professional and business services sectors helped spur some of the activity as the sectors accounted for approximately 3,000 and 5,000 hires, respectively. Leading indicators for the Cleveland-Elyria-Mentor MSA point towards growth leading into fall, albeit slow.

Despite job growth, new leasing activity should remain relatively stagnant through 2010. Tenant expansions will continue to drive positive absorption as companies opt to reserve capital. Tenants with leases expiring will continue to survey the market, levaraging the aggressive rental rates and concessions being offered by well-capitalized landlords.

Click here for more information on leasing activity, tenants in the market, sales activity and construction activity, courtesy of Jones Lang LaSalle.