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Report: Office Fundamentals Weaken in Second Quarter

Published Tuesday, July 22, 2008

The U.S. office vacancy rate climbed in the second quarter amid decreasing demand and new deliveries of space, according to research by Colliers International. Downtown rents showed modest increases but suburban office properties have begun to feel the impact of the slowing economy as those rents edged downward. Nationwide, the office vacancy rate in the second quarter jumped 27 basis points from the previous quarter to 13.24%, marking the third consecutive quarterly increase in office vacancy. Driving that trend are both decreasing demand and increasing supply, according to Ross Moore, executive vice president for market ...

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