High class office space may not be far away for Buda and Kyle.
City officials believe available office space in the area is scarce, which leads to offices filling fast. With cities that are rapidly growing, the need for more office space is starting to become priority.
“New office space has been built or is under construction in Buda lately and these spaces have filled quickly,” Ann Miller, Executive Director of the Buda Economic Development Corporation said.
Executive Director of Kyle Economic Development Corporation Diana Blank Torres attributed the increased need for office space in Kyle to a lack of dedicated office space between south Austin and Schertz.
That need led to the proposition of an office space complex on the property that once housed Central Texas Speedway on the east side of Interstate 35. Officials have not approved the proposed business complex.
“There is an increased interest in Class A office space, of which there is none on the market in Buda ... Developers willing to build this space recognize Buda as an unproven market so to mitigate risk they want to hold off on development until they have a tenant.” Ann Miller, Executive Director of the Buda Economic Development Corporation
“Kyle would be an ideal location for companies that want to be near larger cities but don’t really want to pay those higher city rents,” Blank-Torres said. “Businesses want to be here and are looking for developments that will offer dedicated office space which is different from retail space.”
Miller said the need for more office space in Buda comes from the growing economy and population in the area.
“Businesses are expanding and relocating in our area because of the positive business climate and quality of our workforce,” Miller said.
Both Miller and Blank-Torres said Buda and Kyle lack Class “A,” or prestigious, office spaces and buildings.
According to the Building Owners and Managers Association (BOMA) website, metropolitan office space is classified as Class A, B and C categories.
Class A is defined as “the most prestigious buildings competing for premier office users with rents above average for the area,” according to BOMA. Buildings in Class A have high quality standard finishes, state of the art systems and a definite market presence.
“There is an increased interest in Class A office space, of which there is none on the market in Buda,” Miller said. “Developers willing to build this space recognize Buda as an unproven market so to mitigate risk they want to hold off on development until they have a tenant.”
Miller added that tenants looking for office space seek already completed facilities, as opposed to waiting on a proposed structure.
Blank-Torres said Class A office space isn’t just for large companies or firms. Developers looking to relocate or expand into the region could also bring Class A office space.
“Kyle would be very open to developers who want to bring dedicated office space, particularly Class A buildings, to town,” Blank-Torres said. “This kind of space isn’t just for larger firms that want to have a presence here. Class A offices would attract companies looking to relocate their headquarters.”
Since both Kyle and Buda are experiencing a greater need for office buildings and work centers, the possibilities regarding future industry endeavors could be limitless.
“I expect to see continued need for not only office space, but all types of business space over the next few years,” Miller said.
