Greenleaf Trust succeeds in Birmingham commercial rental market

The Kalamazoo-based Greenleaf Trust has set the bar for rental rates, commanding double the average rate for the region for its building in Birmingham, reports Crain’s Detroit Business. And just over one year after the building was completed the office and retail space is completely leased.

With an asking rental rate of $36 per square foot, according to Washington, D.C.-based CoStar Group, the building is among the most expensive office spaces in metro Detroit. CoStar lists the average rental rate for Class A office space in metro Detroit at $21 a square foot, and $18.25 per square foot for all types of office space.

On the top of the five-story building are two floors of residential space still being built out.

Excerpt:

“This is something that will give some hope for the idea of new construction in the region,” said Peter Noonan, vice president of brokerage services for Birmingham-based Bailey Schmidt Inc., the real estate firm representing the landlord in the leasing work. “It sends a message that there’s demand for high-quality office space, and tenants will pay a premium for it.”

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Source: Crain’s Detroit Business