Availability declines across Suburban Chicago as tenants consolidate and leasing holds steady
Suburban Chicago ended 2025 on firmer footing, with market-wide availability declining to 29.0%, marking its lowest level since Q4 2020 and down from 30.6% at the end of 2024. While still elevated by historical standards, the trend reflects gradual improvement as occupiers consolidate, while aging buildings leave the market through redevelopment or removal. Annual leasing totaled 5.9 million square feet (msf), falling short of 2024’s 6.3 msf but outperforming every year from 2020 through 2023. Leasing remained largely renewal-driven, though select relocations and capital markets activity hinted at growing demand for modern, right-sized space in strong locations.