During the third quarter of 2023, Boston’s commercial real estate market experienced a rise in vacancy rates for the fourth consecutive period. This information was revealed in Colliers’ Q3 2023 Boston Reports on Office, Multifamily and Industrial. The reports highlight that investors are acquiring assets at lower prices, resulting in increased availability of direct space and making the office market more favorable for tenants.
In contrast, the multifamily market remains robust with healthy vacancy rates and year-over-year rent growth surpassing historical averages. These comprehensive reports offer valuable insights into current market trends such as total availability, activity levels, and investment patterns over time.
Despite facing challenges during this period, vacancies in Boston’s industrial sector remained relatively stable at three percentage points below its long-term average. Net absorption has generally been positive over the past year except for warehouse space. While landlords were unable to raise rents as aggressively as before due to these circumstances; industrial asking rents still saw an increase of approximately 2.5% compared to last year.
This article discusses how vacancy rates continue to rise within Boston’s commercial real estate industry without mentioning specific companies or organizations such as Connect CRE or Connect LA/Texas.
