Redmond’s commercial real estate sector continues to see steady growth and two residential development projects are currently in the planning stages.
Compass Commercial Real Estate Services in Bend has been mapping and tracking Central Oregon’s realty landscape for over 18 years and releases a quarterly report on the region. Compass Points offers detailed commercial real estate data including vacancy and absorption rates by surveying office, retail and industrial properties.
According to the report which was released last week, “Redmond’s 149 million square foot industrial market is back to a healthy state.”
14,394 square feet was absorbed in quarter three following 27,158 square feet of positive absorption in quarter two. Redmond has posted six consecutive quarters of positive results and just 118,000 square feet of industrial space remains available. This shows positive gains from the 154,000 square feet of available space in April of this year and 434,000 square feet that was available in quarter two of 2011.
”Last quarter Redmond’s Industrial Vacancy rate was 8.1 percent and is down to 7.9 percent this quarter,” Compass Commercial CCIM Peter May said. “Although it isn’t a drastic improvement it is change in the right direction.”
“Companies are growing and expanding to more space. Breweries are strong right now. Office buildings are filling up. There has been slow and steady growth across the board,” May said.
Most of the smaller spaces are filled. “The 7.9 percent is mostly larger spaces and we are seeing good interest in the larger spaces. There isn’t a lot of larger commercial spaces available in Bend but Redmond has some space to offer,” according to May.
NAI Cascade Principal Broker for Redmond’s office, Ken Streater said, “Redmond continues to benefit from wise growth that is an extension of the Central Oregon quality of life which attracts employers who are met with open doors by city leadership to help get their business established.”
In August, Utility Trailer Manufacturing Company, which makes dry freight vans and flatbeds, opened a new dealer location in Redmond. The company occupies a 27,000 square foot facility in Redmond and offers full service dealership of new and used trailers.
Nosler Investments, LLC purchased 60 acres of land near the Redmond Municipal Airport and is currently in the process of building a thirty-thousand square foot building to expand their business, which is expected to bring approximately 20 new jobs.
“The Evergreen School renovation for City Hall will begin this winter and is anticipated for completion by next fall. Another is the new memory care facility that is almost completed on the highway 97 bypass across from the hospital,” according to Streater.
The largest all-accessible playground and park in the state recently completed in Redmond and boasts a 25,000 square foot playground. Additionally, in the past year BasX Solutions purchased the former Wal-Mart building in Redmond and continues to add more jobs.
Streater praised Redmond’s commitment to the communityand for positioning the city for continued growth and attracting businesses. He cited the purchase of a former vacant office building by Central Christian School which allowed them to move into a 20,000 square foot facility.
“There were many concerns with Cascade Christian School including a conditional use process and having a ball field near the school that wouldn’t get in the way of businesses. The city owns property near the school and helped develop a park with a field and walking trails so it benefits the school, employees and the community,” Streater said.
Redmond’s residential sector is seeing gains as well with two large housing projects in the planning stages.
“Other substantial real estate news is the first phase of housing development near Ridgeview High School that will bring approximately 234 homes when completed,” Streater said.
The project is tentatively being called the Pavlicek Neighborhood, named after retired dentist Dr. John Pavlicek who owns the land, and will bring single family homes, apartments and townhouses to Redmond.
A second housing project in Redmond, called Obsidian Trails, intends to develop land on the west side of town with approximately 187 new homes including single family lots, apartments and cottages.
Building these affordable housing units is part of the continued process to continue attracting and recruiting businesses to Redmond as businesses like to establish in a place with a quality workforce and affordable housing for their employees.
