RALEIGH – Commercial real estate firm JLL has secured three tenants at 702 Oberlin, a newly renovated office building next to the Village District (formerly Cameron Village), the company says.
According to the announcement, the new leases bring the building’s occupancy up to 68 percent.
Both downtown Raleigh and downtown Durham are “hotspots of activity” for office leases, according to JLL’s Q2 2023 Raleigh Office Insight report, released in July.
The mentioned the Q2 report, sharing that Raleigh experienced 72,000 square feet of positive absorption in the last quarter, which JLL called “a sign of a stabilizing market despite economic headwinds.”
The report showed that downtown spaces in the Raleigh-Durham office market have continued to see high demand for “quality office space.” Direct vacancy in downtown areas dropped 100 basis points between Q1 and Q2, while sublease vacancy also dropped 30 basis points, according to the July report.
But while urban areas saw a decrease in office vacancies, suburban markets showed negative absorption, meaning more leases available—accounting for -400,000 s.f. of vacant space added to the market in Q2, according to the report.
Total Vacancy (%) | From the Raleigh-Durham Office Insight – Q2 2023 report
New leases at 702 Oberlin
The 702 Oberlin reopened 18 months ago after Beacon Partners purchased and renovated the building. JLL Raleigh Managing Director John MacDonnell and Vice President Patti Autry handled leasing efforts for 702 Oberlin on behalf of Beacon Partners, according to the press release.
Refurbished lobby at 702 Oberlin | Image provided by JLL
“Our partnership with Beacon Partners has resulted in strong leasing momentum at the building, and we are pleased with the increase in activity following the completion of the capital improvements,” said JLL’s Patti Autry. “With abundant dining and retail options nearby, 702 Oberlin provides an unparalleled office experience in the heart of Raleigh’s Village District. We are confident that its convenient location and ease of access will continue to appeal to users looking to provide an ammenitized environment for their employees.”
The newly signed tenants will encompass 21,400 square feet of the building:
- Salas O’Brien, an engineering and technical services firm, will relocate their current Raleigh office and bring 45 to 50 employees occupying the building, opening by Q1 2024.
- Mill Creek Residential, a national multifamily developer, will open its first corporate office in Raleigh at 702 Oberlin.
- American National Bank & Trust Company, a full-service community bank, will relocate to 702 Oberlin and open in October 2023.
“The superior location of 702 Oberlin made it a great target for this re-positioning and re-leasing strategy,” said Walker Gorham, Partner and Triangle Market Leader at Beacon. “With the upgrades now complete, we are pleased to offer tenants a modern and amenitized workplace with direct access to best-in-class shopping, fitness and dining in the heart of the city. We look forward to collaborating with JLL to secure additional tenants to complement the existing tenant mix.”
