Office Reports

With so many headwinds impacting the sector, office landlords are faced with tough decisions as the future of offices remains unclear.

With weak demand and high interest rates, refinancing offices will be challenging unless they include solid leases with high-quality tenants.

Amid economic uncertainties and vacancy woes, the sector is expected to record one of the smallest sales volumes since the Great Recession.

Higher interest rates will likely hamper new supply as well as sales activity in 2023, while tenants’ flight-to-quality expected to persist.

The average listing rate for office space stood at $38.06 in November, while vacancies rested at 16.2% across the top 50 U.S. office markets.

The average listing rate for office space stood at $37.94 in October, while vacancies rested at 16.3% across the top 50 U.S. office markets.

The average listing rate for office space stood at $35.67 in September, while vacancies rested at 16.6% across the top 50 U.S. office markets.

Trading at an average $645/sq. ft, life science properties are selling for 150% higher than the $258/sq. ft average of general office buildings.

Demand for coworking spaces nears pre-pandemic levels, even as office vacancies continue to climb, hitting 15.1% nationally.

Boston remains the only leading market where the vacancy rate is under 10% thanks to strong life sciences sector.