Replace people with machines? The growing fear in the current wave of generative AI has had an ironic improvement on hiring certain types of workers — and the need for office space in high tech — according to Moody's Analytics.

"The national office market has been on rocky footing for a few years now, but better leasing activity combined with limited construction prevented vacancy rate spikes as expected this quarter – vacancy actually fell to 18.8%, while rent grew by 0.2%. What else was happening in Q2? Artificial intelligence (AI) investment skyrocketed in the tech sector," they wrote.

That is a correlation, not necessarily causation, but then correlation also doesn't inherently mean that there can't be causation.

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
NOT FOR REPRINT

© 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.