Market fundamentals hold as Washington embarks on a year of uncertainty
At the start of the year, office market fundamentals in the District showed little change from Q4 2024. Leasing was in line with the current five-year average, rents held firm, and availability rates were steady. Overall availability ended the quarter at 23.5%, down just 20 basis points from year-end 2024, but still up 90 basis points year-over-year. Class A availability remained flat from Q4 2024 at 22.9%, up 70 basis points from Q1 2024. While the market will inevitably feel the effects of administration changes, it is still too early to measure the impact.