• The non-seasonally adjusted unemployment rate for Houston was 8.4% in February 2021, up 50 basis points from 7.9% in November 2020.
  • The office vacancy rate increased by 0.6% quarterly, from 22.3% in Q4 2020 to 22.9% in Q1 2021.
  • Net absorption was negative 559,061 sq. ft. and was attributed to consolidations, bankruptcies and downsizing.
  • Asking rates declined slightly in most Houston submarkets but the spread to actual strike rates was much greater.
  • Despite slowed construction activity due to the pandemic, four office projects totaling 360,302 sq. ft. delivered in Q1 2021.
  • Around 3.6 million square feet of luxury office projects remained under construction.
  • Sublease availability increased by 7.7% from Q4 2020, yet Houston is among the top markets in the nation with steep declines in sublease availability over the past few years.