Fresno office space market holds steady during coronavirus pandemic

Experts say while the real estate market for office space is pretty stable, we will have to wait and see the long term effects of this pandemic.
FRESNO, Calif. (KFSN) -- Office spaces around the country and the Central Valley are looking a little empty these days with people working at home.

However, experts say, Fresno's market for commercial office space is holding steady.

"In the professional office market, it's been a situation where we're still kind of in a wait and see market," said Brandon Lamonica, vice president Fortune Associates. "The market is still in good condition. Values are still up. Rents are still up. Vacancies are still stable."

Brandon Lamonica has worked in commercial real estate for about 20 years.

He says while many people work at home, those in essential professions like medical are still working in spaces and taking precautions by following guidelines.

"As far as businesses going out of business, we haven't seen a lot of it. We've seen companies restructuring or downsizing to make a certain decision based on what's going on today," Lamonica said.

Landlords and tenants have also been working on deals for short-term leases or fixes while they wait out the economic storm.

Recently, a new office building was just constructed in northwest Fresno.

It's a rare sight during these times.

Lamonica says Fresno is unique. He says larger markets like San Francisco or LA tend to fluctuate.

"The good thing about Fresno is its stability and not having wide-ranging variances and rents and values. You don't see big swings you see more consistent increases," Lamonica said.

One of the challenges is that with schools closed, more people will have to work at home to take care of children, and that could affect office space leasing.

Experts say while the real estate market for office space is pretty stable, we will have to wait and see the long term effects of this pandemic.

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