At the end of the third quarter, commercial property under construction in Orange County totals less than one million square feet.
New construction has significantly declined, which is mainly in response to the economic uncertainty facing the nation.
The decline can be seen across the board, but in particular in the office sector, which has only three buildings totaling 160,000 square feet currently under construction.
The construction of new office buildings hit its peak in late 2006 when developers saw the record-low vacancy levels and high demand.
Today, there is about 97% less space under development than there was at the end of 2006.
Following the delivery of 1.4 million square feet of new office space year-to-date, the current office space under construction totals 160,533 square feet.
One building broke ground in the third quarter, adding to the 80,000 square feet already in the construction phase.
Although there are many office projects in the planning phase, none are expected to break ground this year.
Development of retail centers also declined with 371,988 square feet under construction, none of which broke ground last quarter.
Because many developers have put plans on hold, construction in OC has gradually slowed down since last year.
Marblehead, the 600,000-square-foot specialty center in San Clemente that began early phases of construction last year, has been put on hold.
Industrial development continues to remain low, mainly due to the lack of available land which is leading developers to redevelop existing structures.
North County carries the largest amount of new construction totaling more than 200,000 square feet.
The Kimberly Business Center in Fullerton has nine buildings larger than 10,000 square feet under construction and is due to be finished by the end of 2008.
In the greater airport area, there are two buildings in Santa Ana under construction that total slightly more than 23,000 square feet.
South County has only one building at 14,507 square feet in the construction phase, while West County currently has no industrial space being built.
Data and analysis provided by CB Richard Ellis Group Inc.
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