Charlotte ranks 4th in nation for office absorption in 2017

December 8, 2017 10:56 am

Charlotte ranks 4th in nation for office absorption in 2017

The office space absorption in Charlotte’s Central Business District is the 4th highest in the United States, behind only Seattle, New York and Chicago’s CBD’s. Charlotte’s overall absorption for office space ranks 6th in the country, with over 1,000,000 sf over the first 3 quarters of 2017, behind Dallas, Seattle, NYC, Austin and Los Angeles.

Charlotte’s CBD market has seen positive absorption through 2017, as product has delivered in markets with low existing vacancy rates (9.2% in the urban submarket) and high economic growth. Charlotte’s absorption rate has been fueled by a mix of new businesses starting or relocating here, and the expansion of existing businesses. The table below offers examples of office projects and square footage that make up part of Charlotte’s 2017 YTD absorption figure.

Example Projects

Project

Address

Square footage

Type

WeWork

615 South College

51,550

Expansion

DealCloud, Inc

129 West Trade

2,920

Expansion

Passport

First Citizens Bank Plaza

26,986

New

Sitehands

615 South College

13,524

New

Randstad

Charlotte Plaza

9,632

Expansion

US Bank National Association

South Tryon Square

21,210

Expansion

Empowered Benefits LLC

525 North Tryon

32,123

New

 

The graph below compares Charlotte’s CBD absorption to peer cities. Of note is that Charlotte’s 693,947 sqft of office absorption over the last three quarters is greater than that of the next two cities combined over the same period.

 

 

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