Summit County Commercial Real Estate Market Year End 2009

SUMMIT COUNTY
Overview
- Although the economic slowdown had broad impact on the Park City commercial real estate market in 2009, the area fared better than most resort towns.
- New construction remains at a standstill, but residential real estate saw a slight increase in activity of 2009 due to distressed properties, better prices, and creative incentives from developers.
- New projects, including several expansions, point to brighter days ahead for the Park City market.
Retail
- Retailers suffered from decreased tourism and tight credit markets.
- Main Street saw high tenant turnover, increased vacancy rates, and lower lease rates, fueling concerns over its future.
- Kimball Junction experienced a slowdown in leasing activity as recently-opened Newpark Center struggled to find tenants. Best Buy and Jupiter Bowl did well, and Tanger enjoyed continued success, as consumers looked for discounts.
- Landlords offer lower rates and concessions to retain and attract tenants.
Office
- The office market remained stable in 2009; lease rates should hold steady in the coming year.
Industrial
- Park City Business Center is well under way with one spec building completed and ready for occupancy. Other buildings are planned for late 2010.
Other
- Hotels: Despite the slowdown of the past year-and-a-half, the opening of two major hotel projects in 2009, and at least one more in 2010 bodes well for the future.
- Healthcare: The completion and opening of the IHC hospital brought over 200 new jobs.