As far as commercial real estate markets go, Boston is among the best in the country. According to real estate research firm Reis Inc., the retail-vacancy rate fell 10 basis points in the past three months, and the city is now tied with Austin as the 12th best in the nation. What does this mean for start-ups who want a piece of the thriving Boston business world?
There’s no denying that Boston is a great place to start a business, but the rewards do not come without risk. There is clearly more competition for space and higher rents seem to be the norm in all sectors. Reis reported that Boston was one of only 11 markets in the country where rents increased at least 2.5 percent – far above the national average. Only small businesses with sufficient capital to get up and running will have a chance downtown, and even then there are risks.
Boston will still continue to be a bustling hub you can depend on, but there may be some bumps in the road along the way. Don’t jump in if you’re not committed for the long haul.