Office market observations: the good (1 of 3)
Leasing activity seems to have troughed.
Deliveries are at all-time lows.
Rent trends are strengthening.
Employers are pushing workers to return to the office. The average attendance among Fortune 100 firms is up from 2.2 days in 2022 to 3.7 days per week as of Q1 2025.
JLL is calling the bottom for sunbelt office markets with the trough in sight for many gateway markets.
However, buildings and investments don't perform on average. We'll dive into examples of office stress tomorrow and Thursday to provide some insight into the nature of distress.
We expect increasing divergence between the winners and losers within the office market.
See the slide deck here.
PS - we’re diving into the office market this week. Today: the good. Tomorrow: the bad (case study of a challenging office property). Thursday: the ugly (case study of an extremely challenging office property). Stay tuned…
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