There is little doubt that in certain markets flex office space is on fire. The sector has grown an average of 23% each year since 2010, according to a recent report by JLL. Last year alone it made up for nearly two-thirds of the country's office market occupancy gains. Not only that, there is still plenty of runway left for this asset type. JLL notes that right now, flex space inventory accounts for less than 5% of US office stock and that by 2030 that number will have skyrocketed to approximately 30% by 2030. There's not a single US market that's over-saturated, but some are definitely better positioned to see rapid growth, JLL says. In its report it has evaluated some 25 economic, demographic and market variables to identify those markets. For its top 15 growth markets see the slideshow above.
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
