We are pleased to release the latest State of the U.S. Office Market. This quarterly presentation provides key metrics on office leasing and the current state of the capital markets within the sector.
A few noteworthy facts from our research:
- The office market at year-end 2024 continued to see increased space demand as the overall economy grows while return to office rates tick up.
- Total leasing activity reached a post-pandemic high with more corporate occupiers making long-term commitments as opposed to doing shorter term extensions.
- Overall availability rates remain elevated across most markets although sublease space has decreased yet again.
- Occupiers in a strong financial position with superior credit remain in the driver's seat but as the Trophy Class A segment of the market tightens, expect the return of pre-leased development in 2025 where applicable.