NEW HAVEN –– The overall office vacancy rate in the Elm City stalled at 12.2 percent during the third quarter of 2011, the same rate as the second quarter, according to the latest market report by John Keogh of Colliers International, which tracks 57 commercial buildings in New Haven. Keogh describes the third quarter market as “fairly healthy,” noting a volume of transactions “high for New Haven’s usually quiet market,” and says start-ups accounted for much of the leasing activity, along with relocations of companies within the city limits.
The largest lease was for 15,000 square feet, representing the entire second floor, of 4 Science Park by the Connecticut Center for Arts and Technology, a new non-profit providing vocational training for teenagers and adults. Precipio Diagnostics also took 7,500 square feet on the third floor of the same building.
Keogh says non-profits are accounting for an increasing number of leases in the city, and are “quickly backfilling spaces” vacated by for-profit businesses.