The U.S. Office Market Continues to Stabilize Key Takeaways The U.S. office vacancy rate continued to level off in Q4 2021. Net absorption increased and was positive for the second...
The U.S. Office Market Continues to Stabilize
Key Takeaways- The U.S. office vacancy rate continued to level off in Q4 2021.
- Net absorption increased and was positive for the second successive quarter.
- Asking rents are mostly holding firm, but concessions have increased.
- Sublease space levels declined again in the fourth quarter but remained elevated.
- Supply-side risks are diminishing as speculative construction continues to slow.
- Sales volume is approaching pre-pandemic levels.
- Office occupancy looks set to increase in the weeks ahead.
- The U.S. economic outlook for 2022 is broadly positive, pending short-term concerns.
- California and Florida are projected to lead the economic recovery.