HOUSTON – Overall local office vacancy was at 25.4 percent in July 2022, up 80 basis points from July 2021, reports NAI Partners.
Availability was at 29.8 percent, up 70 basis points from last year. The difference between this figure and the vacancy rate reflects expected future move-outs.
So far this year, the local office market has recorded 7.7 million sf of leasing activity, including both new leases and renewals. this is down slightly from this time last year.
Year-to-date net absorption is at a positive 541,000 sf, up from a negative 1.9 million sf.
Currently, 2.3 million sf of office space is under construction, down 33 percent from last year.
NAI states rising interest rates, elevated inflation, and persisting effects of the pandemic continue to challenge the local office market.
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Source: NAI Partners