So much for office hitting bottom — at least for the sake of Portland. A fourth-quarter sector report from Kidder Mathews finds that leasing activity plummeted 50 percent in the last three months of 2024 to 524,000 square feet. That's the lowest number on record for the city, according to the CRE firm.
To make matters worse, vacancy has not only continued to increase over the past eight quarters — but the 13.5 percent level at the end of the year was at a record high.
Additionally, asking rents were down versus the year before at $28.44 per square foot full-service gross. Overall, Kidder notes that the tenant demand has been "soft," leading to challenges in the office market.
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