Office Reports

Average office asking rents in Tampa saw a higher year-over-year increase than Los Angeles office space, in August.

The emergence of the delta variant is pushing back return-to-office dates, but rents remain stable and vacancies are cooling.

Austin’s office market has been outpacing other Texas office markets in the last year as companies relocate from other place. After peaking in March, vacancies are starting to taper off.

Markets with an abundance of top tier office stock, where concessions are more negotiable than the asking prices, have partly supported the steady Y-o-Y growth of full-service equivalent listing rates throughout the pandemic.

Rents have increased steadily throughout the pandemic-stressed economy. The upward trend is likely to continue, as transactions focus on high-quality, high-value assets.

Despite rising vacancy, average office lease rates across the top 50 markets in the U.S. continue to follow an ascending trend.

Both lease rates and office vacancy saw modest Y-o-Y increases in March 2021, but investors did not shy away from spending record amounts in top office markets.

In February 2021, U.S. office vacancies increased 40 bps M-o-M & 160 bps Y-o-Y – standing at 15%. U.S. office-using employment fell 3.4%.

By January 2021, U.S. office-using employment fell 3.3%. Office vacancies increased 40 basis points to 14.6% and 80 basis points Y-o-Y.

By December 2020, U.S. office vacancies increased 40 basis points to 14.2% and office-using employment fell 3.4%.