2015 Average Vacancy: 13.1%
2016 Average Vacancy: 12.9% (-1.53% vs 2015, year over year.)
2017 Average Vacancy Forecast: 12.9% (+0.0% vs 2016, year over year.)
The national office vacancy rate increased 10 basis points (bps) in Q1 2017, to 13.0%, due to supply increase. The suburban and downtown rates increased by 10 bps each, to 14.2% and 10.7%, respectively.
The overall rate’s four-quarter change is also a 10-bps decline.
Over the past four quarters, tightening vacancy has been recorded predominantly in mid-sized markets, including Orlando, Richmond, Sacramento, Kansas City, Tucson, Riverside, St. Louis, Las Vegas and Detroit.