Q4 2023 MARKET OVERVIEW
Wichita Submarkets
Q4 2023 MARKET
OVERVIEW
OVERALL MARKET
Q4 2023 NEW CONSTRUCTION PERMIT VALUE
CONSTRUCTION ACTIVITY The trend of fewer permits issued continued in Q4 of 2023 with only 27 permits being issued vs 38 in Q3 and 55 in Q2 with the total value of projects in Q4 coming in at just over $46 million. Year over year there were 207 permits issued in 2023 with a total value of $300,116, 680 vs 252 permit issued in 2022 with a total value of $495,074,332. Notable announcements and deliveries in Q4 of 2023 included:
Q4 2023 MARKET
OVERVIEW
The 75-unit, $15-million HiTone Lofts in Old Town welcomed its’ first residents in November. After breaking ground this summer, Hunter Health pulled a permit on a 15,000 square foot, two-story addition to its current 22,100 square foot clinic. Humlicek Family Dental broke ground on a $2,4 million dollar, 7,000 square foot building in The Office Park at Eberly Farm. Amber Waves Diving Co. and Wichita CPR Training Center opened a $3.4-million, nearly 11,000 SF facility at 21st and Greenwich. Keycentrix completed a vision to transform a historic, but long-vacant building in downtown Wichita when they moved into the former Legacy Antique Mall at Douglas and Emporia. A permit was pulled for an $8,215,000 spec warehouse at 1217 W. MacArthur Rd. After the announcement in the summer that Culver’s would be opening their first Wichita location, a $3 million dollar permit was pulled for the location on north Maize road.
Retail
Q3 2023: $10,662,061 Q4 2023: $3,010,000
Office
Q3 2023: $2,532,900 Q4 2023: $6,210,000
Industrial
Q3 2023: $2,469,424 Q4 2023: $36,443,239
NEW CONSTRUCTION PERMIT VOLUME 20
15
10
5
0
Retail
Office
Industrial
OFFICE
Q4 2023 .
OFFICE FUNDAMENTALS
HIGHLIGHTS
In October, a study showed that Wichita’s core ranked ninth among U.S. Metros - and No. 1 in the Midwest region when looking at cell phone data to determine visits to downtown. COMCARE of Sedgwick County purchased a two-story building at 235 S. Topeka, which will put them on the doorstep of the planned $300-million biomedical campus in downtown Wichita in what is being described as a biomedical corridor in the heart of downtown. Hutton Construction’s continued growth in the facilities management business drove them to expand again, this time taking 4,000 square feet about a block west of their Deleno District headquarters
SOLD
Vacancy
Q3 2023: 26.34% Q4 2023: 26.41%
Net Absorption
Q3 2023: (79,559) Q4 2023: (10,668)
Average Asking Rate
Q3 2023: $14.33 Q4 2023: $14.34
LEASED
LEASED
Q4 2023 MARKET
OVERVIEW
9100 E. Central, Wichita, KS 67212
245 N. Waco, Wichita, KS 67202
251 S. Hillside, Wichita, KS 67211
RETAIL .
Q4 2023
RETAIL FUNDAMENTALS
HIGHLIGHTS Q4 was a busy one in the Wichita retail market! In December, Janelle King announced that her iconic Wichita store The Workroom would be leaving Cleveland Corner and occupying a little over 9,000 square feet on the ground floor of historical Eaton Place in downtown Wichita.
Vacancy
Q3 2023: 14.26% Q4 2023: 14.31%
Net Absorption
Q3 2023: (32,237) Q4 2023: 83,859
Average Asking Rate
Q3 2023: $11.06 Q4 2023: $11.00
National chain Total Wine & More held its grand opening, moving into the former Stein Mart in Greenwich Place. Just down the road, Westlake Hardware announced that its 8th location would be opening in the former Tuesday Morning space at 21st and Greenwich.
LEASED
LEASED
LEASED
Q4 2023 MARKET
OVERVIEW
2423 N. Greenwich Wichita, KS 67226
517 E. Douglas Wichita, KS 67208
338 N. Mead St. Wichita, KS 67202
INDUSTRIAL
Q4 2023 .
INDUSTRIAL FUNDAMENTALS
HIGHLIGHTS
75 years after it was founded in Wichita, Fairbank Equipment received $3.75 million in industrial revenue bonds to be used to build its new corporate headquarters in southwest Wichita. The planned 40,000 square foot headquarters will more than double the size of its current headquarters. Integra Technologies continues to await CHIPS funding for its new combined headquarters and production facility in Bel Aire. It applied for the funds in the spring, but is still waiting for word back from the government- with no specific timeline given for the award. While Integra is still awaiting the CHIPS announcement, efforts to hire continue to move forward.
LEASED
Vacancy
Q3 2023: 9.61% Q4 2023: 9.36%
Net Absorption
Q3 2023: (34,059) Q4 2023: 111,348
Average Asking Rate
Q3 2023: $5.42 Q4 2023: $5.40
LEASED
LEASED
Q4 2023 MARKET
OVERVIEW
5200 N. Webb Wichita, KS
8805 E. 34th St. N. Wichita, KS 67226
2940 S. Minneapolis Ave. Wichita, KS 67216
NAI Martens is the largest full-service commercial real estate firm in Kansas. Founded in 1948 and headquartered in Wichita, NAI Martens provides a vast array of commercial real estate services throughout south-central Kansas. President Grant Glasgow, SIOR leads a team of professionals with over 150 years of combined commercial real estate experience.
Q4 2023 MARKET
OVERVIEW
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Member of NAI Global with 300 + Offices Worldwide
1330 E. Douglas | Wichita, KS 67214| 316-262-0000 THE INFORMATION CONTAINED HEREIN HAS BEEN OBTAINED FROM SOURCES DEEMED TO BE RELIABLE, BUT NO GUARANTEE OF ITS ACCOURANCY IS MADE BY NAI MARTENS