The central business district vacancy level is at 14% as average rents dip to about $23 per sf. Outside the CBD, rents are in the $22 per-sf range.
Only 39% of the 1.1 million sf of the space completed since the beginning of the year is occupied. Another 1.9 million sf is under construction, most of which is expected to be completed in the next 12 to 18 months. Sublease space has risen more than 50%, to 675,000 sf.
"Hopefully, we have hit the bottom of the market," Cushman & Wakefield Senior Marketing Director Pete Harrison, tells GlobeSt.com. "But I think we will be there for awhile. Corporate America will continue sitting on the sidelines until the end of first quarter next year. We hope for renewed activity in the second half of next year."
Continue Reading for Free
Register and gain access to:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
