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LEASING DECLINES
Quarterly deal volume dropped to 2.1 million square feet (msf), the weakest quarterly activity since year-end 2016. Tenants have leased 8.9 msf in the four most recent quarters, slightly below the long-term annual average of 9.0 msf.
AVAILABILITY PUSHED HIGHER
The market's overall availability rate, (space that is currently vacant or will be in the next 12 months), jumped by 70 basis points from 20.3% to 21.0%. Class A availability rose by 40 basis points to 22.1%. The availability rate in Class B and C buildings posted a sharper 110 basis point jump.
ASKING RENT INCREASES
Average asking rent for the region registered a quarter-on-quarter increase of 1.5% to $26.20 and has spiked by 10.5% year-onyear. The Class A average rent increased by 1.4% to $29.40, and has jumped by 7.7% year-on-year.
SALES UP
Office property sales during the first seven months of the year totaled $2.0 billion, a 1.6% increase compared to the first seven months of 2017.
"A relative low cost of doing business and access to premium tech and engineering talent has helped Atlanta continue as a top destination for companies across the globe to relocate and expand operations. While this influx of business is beneficial for the success of the city as a whole, it is causing occupiers to become more creative than ever to stay ahead of a tightening market."
Chris White, Vice Chairman, Market Leader