- Cost constraints among corporate occupiers and federal government sequestration led to a slowdown in the pace of overall demand in Q1 2013 compared to Q4 2012.
- The average space per worker, currently estimated at 225 to 230 sq. ft., is under pressure as occupiers embrace more efficient workplace strategies.
- Occupiers are showing a preference for Class A CBD space and “creative space,” which is typically characterized as large floor plates with open configurations.
- The lack of meaningful levels of new supply is contributing to tighter markets.
- The majority of major downtown markets and nearly half of major suburban markets favor owners at this point in the cycle, which will drive rents upward over the next 12 months.
download the full U.S. Office OccupierView report
Watch Karen Ellzey, Head of Global Occupier Consultingat CBRE, discuss U.S. office occupier trends during Q1 2013.