According to the latest figures being released by Integra Realty Resources, San Antonio and the metro area are experiencing a very strong local commercial real estate market. The news is being received positively by those interested in ensuring the economic future of San Antonio.
Even though the nation, as a whole, is experiencing lower demand for commercial real estate, it seems that demand in San Antonio will continue to grow. The growth is even spreading to neighboring cities of Pleasanton and Boerne, which, in the past, many in the industry labeled as “too small” and said they would not be able to attract sufficient investment capital.
According to Martyn Glen, the Senior Managing Director of the San Antonio Office of IRR, there’s an obvious reason that commercial real estate is booming in San Antonio — the city’s economy is doing well, and commercial real estate developers will follow the money trail left by consumers with full wallets. “We have a low unemployment rate, lower than the state,” he explains. “And people here have good ideas of education, as is shown by the large number of very high quality colleges in this area.”
There are other contributing factors, of course. Glen thinks that hotel construction downtown will likely receive a boost after the Tobin Center for the Performing Arts opens this September, and the victory the San Antonio Spurs had in June helped to capture the eye of investors from other cities.
Additionally, the Eagle Ford Shale has helped to stir a lot of local real estate interest throughout the San Antonio area. “It brought about $60 billion into the economy in 2013, it has increased population, and led to an increase in the work force,” he explains, and says that it is likely to inspire more demand for housing and construction for several more years at least.