1.3 million square feet proposed for Downtown Raleigh
Downtown Raleigh’s transformation from traditional business district to flourishing downtown is as apparent as ever
May 22, 2019
- Downtown Raleigh’s transformation from traditional business district to flourishing downtown is as apparent as ever when looking at the development pipeline. In the spans of forty years, the submarket is expected to add over 4.1 million square feet to its inventory, nearly tripling in size. 1.3 million square feet is in the proposed pipeline, including 400H on Hillsborough Street.
- A vacancy rate of 4.5 percent as of Q1 2019 means tenants looking to take advantage of Downtown Raleigh’s atmosphere have had few choices. Thankfully, a slew of developments are slated to deliver in the submarket over the next few years. FNB Tower, set to deliver later this year, has leases signed with First National Bank and McGuireWoods. Smokey Hollow recently broke ground, and will add 225,000 square feet of office as part of a new mixed development that will include a Publix.
- Tenant demand for increasingly amenitized work spaces and walkable environments means new deliveries lease up quickly in Downtown Raleigh. The Dillon, which delivered in early 2018, is now fully leased. The building’s tenant list includes Arch Capital, Spaces, and Stewart Engineering.
Source: JLL Research