Q3 figures from CBRE reveal notable trends in the ever-changing Greater Boston real estate market. The industrial sector continues to thrive with a record-low vacancy rate of 4.0%, while the office sector presents a different picture. Downtown Boston’s office market experienced negative absorption of 611,943 square feet during Q3, contributing to an overall year-to-date negative absorption of over 1.5 million square feet and reaching historic highs for availability, vacancy, and sublease rates.
In Cambridge specifically, there was an increase in availability during Q3 with the Mid-Cambridge submarket seeing a rise of 19.7%. Despite these challenges, leasing activity remained strong in Greater Boston’s industrial market with 2.31 million square feet leased during the quarter and a total of 7.70 million square feet leased so far this year.
However, there was also negative absorption recorded for the second consecutive quarter in the life science market – primarily driven by East Cambridge area – highlighting potential concerns within this segment.
The article “Boston Industrial Remains Healthy in Q3” originally appeared on Connect CRE.
