Despite the fact that the U.S. office market is cooling, the market overall is solid and stable with occupancy at peak levels and record rents in several markets. Investors remain committed to the office sector but are shifting their strategies.
As the U.S. is entering its ninth year of economic expansion, the office market remains historically strong. Tenant demand is a wild-card factor, with absorption levels considerably lower than during previous cycle peaks. Office construction volume remains elevated and holding firm, but is below the historic high.