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Chicago CBD Office Leasing Stays in Positive Territory
Pandemic or no pandemic, office leasing in Chicago’s CBD stayed in positive territory during the second quarter, CBRE reported. That being the case, much of the 110,356 square feet of positive net absorption was due to carryovers from “a historic run of strong market fundamentals and employment growth in the urban core,” according to the firm’s Q2 report.
The dominant submarket remains the West Loop, where positive absorption of 160,850 square feet was recorded during Q2. However, the lowest direct vacancy rate in the CBD was for River North Class A space, which at 6% was less than half that for comparable space in the West Loop.
CBRE says it’s tracking six active tenants with requirements of greater than 100,000 square feet, along with other large users sitting on the sidelines. Market activity has begun to pick up again, but “lease size and terms and term remain up for discussion.”
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- ◦Economy
- ◦Lease
