HOUSTON – Local overall office vacancy was 24.9 percent in February, up 110 basis points from the same time last year, according to NAI Partners.
Availability was at 29 percent, up 50 basis points from February 2021.
The market saw a 20 percent drop in leasing activity, falling from 2.1 million sf in February 2021 to 1.7 million sf last month. That’s the lowest leasing activity on record for the first two months of the year.
Net absorption increased to 634,000 sf from negative 513,000 sf.
Last month, 1.7 million sf of office space was under construction, down 60 percent from both this month last year and pre-pandemic levels.
Gross average asking rent ticked down $0.04 from February 2021 to $29.25.
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Source: NAI Partners