Our latest research report — The Q2 2019 Top Office Markets Snapshot — presents the key trends and statistics for the top 10 office markets in the U.S.
- Following a subdued start to the year, the second quarter was mostly encouraging for the leading office markets in the U.S. Demand levels remain healthy, though rental growth has slowed in several markets.
- Eight of our top 10 office markets posted positive absorption in Q2 2019, with levels rising from the prior quarter in five. Barring some localized exceptions, demand remains centered on two sectors: tech and coworking.
- Vacancy rates fell in three markets and held firm in four more. The increases in the remaining three markets were not of a sufficient scale to cause concern and reflect an increase in new supply or space being returned to the market following tenant relocations.
- Rents increased in four markets and held firm in the remaining six. Once more, new record highs were established in Boston, Manhattan and San Francisco.
- The torrid pace of leasing by coworking and flexible workspace operators shows no sign of abating. New submarkets are being explored as firms seek to diversify and grow their brand. WeWork signed some of the largest deals in several of our top markets.
For more details on the latest office trends in these top metro markets, download the Q2 2019 U.S. Top Office Metros Snapshot and look for our full Q2 2019 U.S. Office Outlook Report coming soon.