February 24th, 2022
The US office market struggle to get back on its feet for most of 2021, despite the year starting with the expectation that this arm of the commercial real estate market would be on its way to recovery by Q3 to Q4. Ultimately, the emergence of the Delta and Omicron variants of COVID-19 resulted in forecasts being revised, and the recovery horizon was pushed to 2022.
We’ve collected a brief overview of the trends, figures, and projections for the 2022 US office space market below, check back frequently in the year ahead for more insight into industry trends and recovery projections.
Economic Indicators Tipped to Improve
There are many factors influencing office market performance, but macro-economic indicators are some of the most critical. As we settle into 2022, a decline in unemployment is expected to be one of the most important factors underscoring the recovery of the office market. Recent data from the U.S. Bureau of Labor Statistics outlined a small uptick in unemployment in January 2022, moving from 3.9% at the end of 2021 to 4.0% to end the first month of the new year. Read the rest of this entry »
Tags: Commercial Real Estate, Office Market Trends, Office Rental, Office Space, Office Space Trends and Forecasts, Office Talk, USA
Posted in Office Space Forecasts and Trends, Office Talk, Trends and Statistics, Uncategorized | No Comments »
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February 11th, 2022
Notable Office Market Insights
- Ongoing recovery is the main theme, continuing the trend seen in most office markets throughout 2021.
- Positive absorption indicators.
- Slight increase in rental rates.
- Marked differences in occupancy levels, vacancy rates and general performance from city to city.
- Remote working practices are still commonplace in key markets, such as San Francisco.
- 142 million square feet of office space currently under construction.
Lease Rates & Asking Rents
Recent data from Commercial Edge outlines a nationwide rental listing rate average of $38sq/ft in January 2022. These figures may be seen as somewhat inflated due to the number of high quality spaces currently listed due to being vacant, with Class A workspaces being listed at much higher prices.
According to Avison Young, Q4 average rental prices per square foot in gateway markets were as follows:
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Tags: Boston, chicago, Commercial Real Estate, Dallas, dc, Florida, Houston, Los Angeles, Manhattan, new york, office market report, Office Market Trends, Office Space, Office Talk, San Francisco, Texas, USA
Posted in National Market Reports, Office Space Forecasts and Trends, Office Talk, Real Estate, Trends and Statistics | No Comments »
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