July 26, 2017
Seattle is sizzling and the numbers just released by the Downtown Seattle Association show exactly how high the CRE market has soared. Currently, there’s $5 billion in construction activity underway, a 40% increase from last year, and more than three times the market’s lowest level in 2011. That’s the most activity since the group began tracking construction in 2005.
Seventy-four projects were under construction as of June 2017, a 14% increase compared to the 65 projects in progress a year ago. Downtown represents 5% of building permits issued in the city in the past 12 months, yet it accounts for half of Seattle’s construction value.
Key report findings:
- The pace of office development has nearly tripled over the past decade
- Two thirds of the projects being developed are residential, primarily apartments
- Record hotel development includes the largest property in the region, a 1,264-room Hyatt Regency in the burgeoning Denny Regrade area, slated for delivery in 2018
- Half of the projects under way now are scheduled to deliver in 2017
- Roughly 150 projects are still in the pipeline, with one-third ready to break ground
For comments, questions or concerns, please contact Dennis Kaiser