Like most of Atlanta's other office submarkets, Northeast Atlanta experienced negative absorption in the third quarter of 2020. This is the second consecutive period of occupancy losses here.
The Northeast Atlanta office submarket was mostly affected by smaller move-outs in the third quarter of 2020 rather than larger vacancies, mostly occurring in the Duluth/Suwanee/Buford office subset.
The negative activity does not help the submarket's overall vacancy rate. At 16%, Northeast Atlanta has the second-highest vacancy rate of Atlanta's major submarkets; and the highest Class A rate.
Although absorption continues to trend negatively, Northeast Atlanta experienced substantial leasing activity in the third quarter. The amount of office space leased in Q3 was the highest for this submarket in 2020.
Looking ahead at the fourth quarter, Northeast Atlanta is anticipated to see positive absorption given the number of occupancies pushed off to the final quarter of the year.
- Northeast Atlanta experienced negative absorption in Q3 2020
- Small vacancies in the Duluth/Suwanee/Buford subset contributed to the negative quarter
- Northeast Atlanta's 16% overall vacancy rate is the second-highest of Atlanta's major submarkets
- The submarket's Q3 leasing activity was the highest all year
- Fourth-quarter projections anticipate positive absorption for the Northeast Atlanta office submarket