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Seattle Lags Other Major Markets in Office Demand Recovery
Seattle and Chicago represented the exceptions to the rule in VTS’ latest VTS Office Demand Index (VODI). Whereas five of the seven major markets tracked in the VODI saw double-digit monthly increases in new office demand during March, Seattle managed just 6.5%, while Chicago’s increase was 3.8%.
Although San Francisco managed the largest monthly percentage increase, its VODI was tied with Seattle’s for the lowest at 49. Among markets that gained year-over-year in both percentage and VODI points, Seattle’s gains were the smallest, according to VTS data.
“Some of what we’re seeing play out in the East Coast vs. West Coast office leasing markets are partially a reflection of the city’s job market performance,” said Ryan Masiello, chief strategy officer of VTS. “Layoffs and declines in job postings have hit the tech sector particularly hard, and consequently held office demand back in tech-heavy metro areas like San Francisco and Seattle.”
- ◦Lease
