Trammell Crow officials said no tenants have been secured for 400H office space yet, but that they are in negotiations with a few companies. The Dallas-based real estate firm is also meeting with various food and beverage operators for the retail space.
The lack of office and retail tenants is another sign of the shifting dynamics impacting commercial space in Downtown Raleigh as remote work has changed the landscape for traditional downtown business districts. The vacancy rate in Downtown Raleigh for Class A office space was 11.42 percent in the fourth quarter of 2022. In 2019 it was just 4 percent. https://www.bizjournals.com/triangle/news/2023/02/09/raleigh-tower-400h-office-retail-vacancy-leasing.html
Would probably be able to fill up alllllll these vacant retail spaces in a month with new and growing local businesses if they maybe didn’t charge the equivalent of a damn new home monthly mortgage for rent…
I suspect that retailers including services that are typically found in strip centers and car dependent (and free parking provided) parts of the city are going to need examples of successful businesses in walkable downtown before committing to leases of their own. Certainly having hundreds of residents above you is a good first step to making future retail business succeed, but abundance of all residents in the walkshed improve the odds of retailers being successful.
With NC being such a “hot spot” according to WRAL’s Tech-Wire, DTR should be in high level talks with Trammell Crow and others regarding “unique” ways to help fill the space. What I am specifically referring to is COR pays TC to lease free space to upstart Raleigh businesses. The future unicorn is if you will. I know that there would be a lot of “poop” coming my way with this argument, especially form other companies, but DTR needs to be as different as it can to put itself more on the map for small and growing companies. We/I complain enough about there being so few local places to go and enjoy. Just my two cents…
lower rents for both office and retail will significantly slow down development in general. Developers won’t take a chance at building something if they won’t make their money through the rents.
Yeo and I like I say the economy won’t shut. I’ll be a while but when hopefully things back to normal and Raleogh works on itself for the mean time we can get ready for a boom later on.
for what its worth, highwoods is the next block south (333 w hargett). 330 w hargett is the 29-floor residential tower by High Street Residential (Trammell Crow)
Its from the north side of the HUE apartments parking deck so I don’t think this view would be concealed by that tower once it goes up, unless that building goes all the way up to Morgan St.
Which building are you referring to?