Cleveland, OH Market TrendsBETA

Asking prices for multifamily properties rose to $28,346 per unit, a 2.4% increase compared with the end of the prior quarter. For the year, asking prices have fallen 11.2% on the year. Asking prices for multifamily properties hit a three-year peak in July 2006 at $39,856 per unit. The current median asking price is 24.8% lower. On the other hand, the lowest asking price in the past three years was seen in February 2012 at $26,970.

For office properties in the metro area, the average asking price was $70.71 per square foot for the month. This represents a decrease of 8.3% year-over-year as well as a decrease of 2.5% compared to the end of the fourth quarter of 2011. Asking prices for office properties hit a new three-year low this month. The previous three-year low was $71.04, set last month.

For industrial properties in the metro area, the average asking price was $32.37 per square foot for the month. This represents a decrease of 4.7% year-over-year as well as a decrease of 2.4% compared to the end of the fourth quarter of 2011. This month, asking prices for industrial properties have fallen to a new three-year low. The previous three-year low was last month at $32.46.

The average asking price for retail properties in the metro area was $81.85 per square foot for the month. This is down 12.6% from the previous year, and down 2.4% from the end of the fourth quarter of 2011. Asking prices for retail properties reached a three-year high in January 2009 at $108.55 per square foot. In comparison, the current median asking price is down by 19.8%. The lowest asking price over the past three years was $78.76 in August 2010.

Sale prices for multifamily properties in the metro area appear to have a seasonal cycle to them. The highs in the cycle tend to occur around August and the lows come around February. Over the past year sale prices have fallen 25.8% to $14,373 per unit. The rate of decline in median sale price per unit for multifamily properties in the metro area has slowed after falling 1.8% over the last three months. This follows a four-month period ending in January when sale prices rose 3.8%. The highest median sale price over the past three years, which was $44,267, was set in December 2009. The current median sale price is 67.5% lower. However, the current price is 3.2% higher than the three-year-low set in July 2011.

Sale prices per square foot for retail properties dipped to $24.16, a 1.3% decrease compared with the end of the prior quarter. Sale prices are also down over the previous 12 months, having declined by 39.5%. The median sale price of retail properties in the metro area has fallen for the third successive month. The falling streak began in January 2012, at which time the median price was $24.60. The metro median sale price hit a three-year low this month. The previous low was $24.47, which was set in December 2011.

Available multifamily properties have fallen for the past five months month-over-month, a 16.4% decline. There has been a 8.9% drop in available multifamily properties over the past year in the Cleveland Metro Area.

The number of office properties for sale has seen a month-over-month rise of 0.3% over two consecutive months. The number of available office properties has risen by 8.1% in the Cleveland Metro Area over the past year.

The number of industrial properties available in the metro area has fallen six months in a row month-over-month, declining 6.1%. The number of available industrial properties has reached a new three-year low in the Cleveland Metro Area this month. The previous low was set last month. The number of industrial properties available in the Cleveland Metro Area has fallen 6.7% over the past year.

This is the third month of an increase in retail properties for sale in the metro area, representing a 2.5% increase. The current number of retail properties available in the Cleveland Metro Area reflects a 10.5% increase over the past year.

Demand on LoopNet for multifamily properties spiked in the Cleveland Metro Area market, rising 1.3% since December 2011, 16.2 percentage points less than the 17.5% increase in the national average. Demand for multifamily properties also increased by 21.6% over the past year. The yearly change ranks the Cleveland Metro Area fifteenth out of the top 48 metros.

Demand on LoopNet for office properties spiked in the Cleveland Metro Area market, rising 10% since December 2011, 11.8 percentage points less than the 21.8% increase in the national average. Demand for office properties also increased by 29.8% over the past year. The yearly change ranks the Cleveland Metro Area eleventh out of the top 48 metros.

Demand on LoopNet for industrial properties spiked in the Cleveland Metro Area market, rising 17.8% since December 2011, 4.6 percentage points less than the 22.4% increase in the national average. Demand for industrial properties also increased by 29.7% over the past year. The yearly change ranks the Cleveland Metro Area thirteenth out of the top 48 metros.

Demand on LoopNet for retail properties spiked in the Cleveland Metro Area market, rising 24.2% since December 2011, 4.6 percentage points more than the 19.6% increase in the national average. Demand for retail properties also increased by 23.7% over the past year. The yearly change ranks the Cleveland Metro Area twenty-sixth out of the top 48 metros.

This is the fourth month of a 4.4% decline in a available square footage for office properties. This, however, did not offset the 2.2% increase of the past year. The rise in supply, combined with the drop in days on market, makes it seem that market conditions are bringing buyers back in.

The square footage available for sale in the metro area has fallen consecutively for the past three months for industrial properties. The square footage available for sale marks a 10.3% decline over the past year. The drop in both the supply of properties and the average time on market could be a sign that prices are going to move upwards.

The available square footage in the metro area has been rising four months in a row month-over-month for retail properties, a 4.7% increase. However, this has yet to offset the drop of 7.3% over the past year. The available square footage for retail properties has risen 4.7% versus last quarter. But for the year, square footage is down 7.3%. The rise in supply, combined with the drop in days on market, makes it seem that market conditions are bringing buyers back in. The rise in supply also seems to be putting downward pressure on sale prices, which could be why they have fallen lately.

The number of units available for sale in the metro area is in a seven month downward trend month-over-month for multifamily properties. The number of units available for sale for multifamily properties in the metro area decreased 44% year-over-year and 12.4% compared to the end of the fourth quarter of 2011. The units available in the metro area for the month of March represents a three-year low. The previous low was set last month. The number of units available for sale for multifamily properties in the metro area represents a 44% decline over the past year. The drop in both the supply of properties and the average time on market could be a sign that prices are going to move upwards. The current market conditions are not favorable for buyers or sellers as prices are falling and sellers still do not seem willing to put more properties on the market due to the poor conditions.

Multifamily properties in the Cleveland Metro Area stay on the market for 162 days, which is 26.1% shorter than last year. Overall in Ohio the time on market has dropped by 13.3% during the same time period. From May 2011, when the time on market was at its longest, it has come down 31%.

Days on market for office properties in the Cleveland Metro Area fell 37.2% from last year, to 186 days. During the same period, days on market in Ohio have dropped 7%. Compared with June 2011, when days on market was at its highest, they've now fallen 37.6%.

The time on market for industrial properties in the Cleveland Metro Area is 268 days, down by 21.3% from last year. At the state level, time on market has fallen by 3.8% during the same time period. From May 2010, when the time on market was at its highest, it has fallen 25.3%.

The time on market for retail properties in the Cleveland Metro Area is down 28.2% from last year, to 159 days. Over the same period, days on market in Ohio overall have fallen by 12.2%. This month, time on market for these properties hit a new low point.

Asking rates for office properties have gone up from the end of last quarter, rising 0.4% to $14.60 per square foot. For the year, lease rates are up 0.8%. Asking lease rates for office properties reached a three-year high in September 2008 at $15.64 per square foot. In comparison, the current median asking price is down by 4.8%. The lowest asking lease rate over the past three years was $14.31 in August 2011.

Asking rates for industrial properties rose to $4.86 per square foot, a 1.3% increase compared with the end of the last quarter. Asking lease rates rose 2.5% over the past year. Asking rates for industrial properties reached a three-year high in September 2006 at $5.04 per square foot. In comparison, the current median asking price is down by 7%. The lowest asking lease rate over the past three years was $4.54 in December 2005.

Asking rates for retail properties have fallen 0.2% to $11.84 per square foot over the past quarter. However, over the past year asking lease rate have risen 1.8%. Asking lease rates for retail properties hit a three-year peak in November 2008 at $12.79 per square foot. The current median asking lease rate is 1.1% lower. On the other hand, the lowest asking lease rate in the past three years was seen in February 2011 at $11.62.

There has been a five month drop in the number of office spaces available month-over-month in the metro area, representing a 3.6% downward movement. The number of available office spaces has fallen by 4.7% over the last year in the Cleveland Metro Area.

For seven consecutive months, the number of industrial spaces available has seen a month-over-month decline, 3.5% overall. Over the past year, the number of industrial spaces available has dropped by 4.6% in the Cleveland Metro Area.

For three consecutive months, the number of retail spaces available has seen a month-over-month decline, 1.8% overall. This, however, did not offset the 2.1% increase of the past year.

Demand on LoopNet for office properties spiked in the Cleveland Metro Area market, rising 28.7% since December 2011, zero percentage points less than the 28.8% increase in the national average. Demand for office properties also increased by 26.1% over the past year. The yearly change ranks the Cleveland Metro Area thirty-fourth out of the top 48 metros.

While interest in industrial properties listed on LoopNet has risen 14.2% over the past year, that change ranks forty-fifth out of the top 48 metros. Demand on LoopNet for industrial properties spiked in the Cleveland Metro Area market, rising 22.5% since December 2011, 3.4 percentage points less than the 25.8% increase in the national average.

Demand on LoopNet for retail properties spiked in the Cleveland Metro Area market, rising 21.5% since December 2011, 3.8 percentage points less than the 25.3% increase in the national average. Demand for retail properties also increased by 21.4% over the past year. The yearly change ranks the Cleveland Metro Area thirty-third out of the top 48 metros.

This is the sixth consecutive month that square footage available has declined month-over-month for office properties. The square footage available for office properties in the metro area decreased 10.4% year-over-year and 4.6% compared to the end of the fourth quarter of 2011. The square footage available for office properties in the metro area has fallen 10.4% over the past year.

The square footage available for industrial properties in the metro area decreased 9.7% year-over-year and 2.2% compared to the end of the fourth quarter of 2011. The square footage available for industrial properties in the metro area represents a 9.7% decline over the past year.

For the past four months, available square footage has declined month-over-month for retail properties. The square footage available for retail properties in the metro area decreased 6.2% year-over-year and 6.5% compared to the end of the fourth quarter of 2011. Retail properties saw a new three-year low in square footage available for the month of March. The previous low was set in May 2010. The current square footage available reflects a 6.2% fall in the metro area over the past year.

Compared with a year earlier, office properties in the Cleveland Metro Area are taking longer to move, and the change in days on market is greater than that at the state level. They now last 291 days on the market at the metro level, an increase of 22.9% year-over-year. In comparison, they last 302 days at the state level, up 17.4% from last year. Compared with October 2010, when time on market was its shortest, it has climbed 34.9%.

Over the past year, the time that industrial properties stay on the market in the Cleveland Metro Area has declined 35.6% to 236 days. Overall in Ohio the time on market has dropped even further as a percentage, by 36.2%, to 258 during the same time period. This month, days on market in the metro area reached a new low.

The time on market for retail properties in the metro area is up year-over-year, and this change is worse than that for the market in Ohio over the same time period. Retail properties are now on the market for 288 days, up 1.8% from the same month last year. From the lowest point, which was set in November 2009, time on market has risen 34.7%.