Rents Rising, Availability Tightening in Philadelphia Office Market

PHILADELPHIA, PA—Asking rents for Center City Philadelphia office space have risen nearly four percent year over year, while availabilities have declined by 2.2 percent, according to third quarter research by Savills Studley. Overall leasing grew to 3.3 million square feet in the quarter, up 13 percent from the prior period, and class A trailing volume of 2.2 million square feet was up 40.2 percent for the quarter and a solid eight percent for the year so far.

“Everybody here is pretty excited about the direction the city is going in,” Paul Garberson, Savills Studley’s research analyst, tells GlobeSt.com exclusively. “There have just been a number of firms that have moved to the city, and the construction that’s happening. The downtown atmosphere is completely changed.”