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LEASING UP SLIGHTLY
Quarterly leasing volume positively reversed directions, rising from 1.9 million square feet (msf) to 2.0 msf, and on par with the market’s longterm average. Tenants have leased 8.8 msf in the four most recent quarters, on track with the long-term market average.
CLASS A AVAILABILITY DROPS
The market’s overall availability rate ticked down by 10 basis points to 18.6% this quarter, the second consecutive quarter with a slight decrease. The region’s Class A rate posted a sharper 40 basis point decrease to 19.3%.
RENTAL RATE UP SLIGHTLY
Overall asking rent posted a 2.4% increase, rising from $27.54 to $28.20. The Class A asking rent rose by 2.3% to $31.90.
SALES UP
Office property sales during the first seven months of the year totaled $1.5 billion, a 31% increase compared to the first seven months of 2017.
“Some tech firms are expanding at a rapid pace, but continued commitment to space efficiency among law firms and many other sectors is restraining space absorption. However, VF Corporation and Slack's arrival validate the positive market momentum."
Todd Roebken, Executive Managing Director