Avison Young recently released its Third Quarter 2023 Office Market Report for Austin, highlighting the challenges faced by the city’s office market and an increase in demand for smaller office spaces. Despite significant occupancy losses, leasing activity has improved as businesses adapt to economic uncertainty and hybrid work arrangements.
The report also notes that a total of 1.7 million square feet of office space ranging from 1,000 to 10,000 square feet has been transacted so far this year. These trends reflect the dynamic nature of Austin’s office market in response to changing work patterns and economic conditions.
According to Carl Condon from Avison Young, vacancy rates have reached a level where larger tenants are starting to see pressure on rental rates. This presents opportunities for businesses looking for larger spaces as they return back to the office.
Overall, these developments indicate signs of life in Austin’s recovering office market. For more insights on commercial real estate news and trends across various markets nationwide visit Connect CRE.
