The Suburban and Beltline office markets reported positive results in Q4 2023, with the Beltline contributing a notable 68,093 square feet of positive absorption.
- Partially due to consistent demand for Class A office space, the combined Beltline and Suburban vacancy rate fell by 54 bps to 21.68% this quarter, showcasing continued positive leasing velocity this year. A large volume of small to medium sized transactions resulted in the vacancy rate for Class A office space decreasing by 477 basis points (bps) to 23.2% year-to-date.
- The Suburban market experienced 84,531 square feet of positive net absorption. Despite this increase in absorption, we expect Suburban occupants, on average, to continue to reduce their office footprints under present market conditions.