The Redstone Main Street hotel project was featured in the WCAX news story “New Development Plans in Burlington”.

“A refurbished block — and new hotel — will soon take shape in downtown Burlington…”  Check out the full story “Rooms to Grow” in Seven Days. 

Hotel Rendering

The Chittenden County office vacancy rate continued to climb this spring, reaching greater than 12% of the approximately 7.1 million total square feet of office inventory.  This is up from a 10% vacancy rate last fall, and almost double the historic average of 6.7%.  Despite these numbers, projections show record growth of office space in this market for the coming year. Space at 110 West Canal Street in Winooski is a prime example of the newer office space. A total of 326,000 SF of new office space is scheduled for completion by the end of 2009, a 5% total increase.  Notable additions to the supply include a 27,200 SF build to suit Homeland Security complex in South Burlington, the development of a 32,650 SF building for US Immigration in Williston, and a 138,000 SF former IBM building in Williston that is now available for lease.  With the abundance of supply and variable demand, we expect vacancy to exceed 14% by the end of 2009.   In terms of lease rates, office space in the Central Business District (CBD) are stable, demanding $13-$17 per SF for Class A, with Class B ranging from $8-$13 per SF.  An example of Burlington CBD office space is 115 College Street, 2nd and 3rd floor.  Despite current economic conditions, occupancy in the CBD is still strong.  We are seeing vacancy declining, down from 4.5% last fall to 4% currently.  With a 16 year historic average of 6.2%, these are encouraging numbers.   The suburban market however is weakening, with Class A calling for $12-$16 per SF, and Class B in the $7-$12 per SF range.   This is primarily due to a surplus of supply in this sector, and a vacancy rate of 14.7%, more than double the historic average.

115 College Street, Burlington, 2nd Floor:
http://www.redstonevt.com/Office-For-Lease-VT-Commercial-115-College-2-Burlington-Vermont/

115 College Street, Burlington, 3rd Floor:
http://www.redstonevt.com/Office-For-Lease-VT-Commercial-115-College-3-Burlington-Vermont/

110 West Canal Street, Winooski:
http://www.redstonevt.com/Office-For-Lease-VT-Commercial-110-West-Canal-Winooski-Vermont/