Q1 2025 U.S. office market overview

The overall availability rate for U.S. office space stood at 23.3% at the close of the first quarter, marking the third consecutive quarterly decline in availability—a trend not seen since before the pandemic in Q4 2018. Through Q1 2025, U.S. office leasing activity totaled 66.4 million square feet (msf), sitting 17.4% below the pre-COVID annual average of 80.4 million square feet (msf) (2000–2019) and 18.4% below Q1 2024. However, certain markets like San Francisco and Manhattan are up significantly from a year ago. Lending activity picked up, with the first quarter alone seeing approximately $15.7 billion in office loan originations.   ...more

RSK: Again, some good news for the office sector but it is a slow return.