• Tech continues to strengthen across all major markets.
  • Office market fundamentals continued to improve in early 2016 in core areas, though gains were muted from their record pace in 2015. Vacancies fell or were flat in six of the ten markets studied.
  • Asking rents continued their upward momentum in 9 of the 10 markets studied. Only San Francisco saw a modest drop though attributable to the decline in the number of ultra-premium ($100+/sf) spaces available for lease.
  • Loft and brick buildings continue to have strong demand by “Class A” office tenants across the country, as companies seek to recruit and retain top talent. Leasing activity in several key markets (Chicago, Atlanta and Dallas) is attributable to incentive packages.
  • Though venture capital paused in the last few months with turbulence in the financial markets, the technology sector has yet to show major cracks and tenant appetites for office space remain strong. San Francisco in particular continues its growth with strong absorption, leasing activity and occupancy gains. Further north in Seattle, the region's dominant technology sector continues to expand both in the city and in its neighboring suburbs.