- Leasing activity increased
- Vacancy decreased
- Positive absorption recorded
- Average rental rate declined
The Woodlands office market vacancy rate decreased over the quarter from 17.1% in Q4 2021 to 16.5% in Q1 2022. The submarket recorded 476,230 square feet of positive net absorption in Q1 2022 due to HPE’s move into its new space in CityPlace. The average asking rental rate decreased from $34.79 per SF to $34.33 per SF in Q1 2022 and the average Class A rental rate decreased from $37.24 per SF to $36.38 per SF. Construction decreased and leasing activity increased slightly.
The forecast in the above graph is based on a trailing 4-quarter average.