The U.S. office market is set for a pivotal shift in 2025, with stabilization paving the way for a new cycle. With office attendance reaching a steady state and a soft landing for the economy, occupiers can conduct portfolio planning with increased confidence.Occupier sentiment will shift from a contraction-oriented approach to one of stabilization and even expansion, supporting office space absorption. This positive shift, along with a significant slowdown in new supply and declining interest rates, sets the stage for the most optimistic outlook in years. However, certain challenges will remain, including subpar office-using job growth, a substantial amount of sublease space and high vacancies in less desirable office properties...
Occupier Strategy
More than one-third of respondents to CBRE’s 2024 Occupier Sentiment Survey plan to increase their portfolio requirements over the next two years, while 25% expect no change...RSK: With virtually no new construction in the office sector other than owner occupied, the demand will eventually catch up to the supply.
Share this article on you social outlets
Our Sponsors
- - Volume: 24 - WEEK: 52 Date: 12/26/2024 11:54:15 AM -