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New Demand for Office Space Recedes in December 

New employer demand for office space receded again in December and is now just 58% of pre-pandemic levels, VTS reported Wednesday. The decline was especially apparent in cities that are less conducive to remote working, including VTS’ hometown of New Yok City. 

Except for Seattle, all core markets saw new demand decline mildly in December, relative to pre-pandemic years. The rate of decline in December ranged from 3% in Boston to 10% in New York City.  

“It’s hard to ignore the emergence of new variants’ effect on employers’ ability to plan for a return to the office, but given that December is typically an underperforming month, I would’ve expected a greater decline than what we experienced this month,” said VTS CEO Nick Romito. “However, despite a better than usual end of the year, looking ahead into 2022, I expect bruised sentiment to continue to materially impact demand for office space.” 

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About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).

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