Analyzing office visitation vs. leased office space across Atlanta

– Occupancy in real estate traditionally refers to the amount of leased space throughout the market. By this definition, total office occupancy in Atlanta sits at 93.3% QTD.

– The alternative definition of occupancy refers to physical visitation. By this definition, according to Avison Young’s Office Busyness Index, Atlanta offices are 60.3% as busy as they were in Q3 2019. Since physical office visitation hit record lows in Q2 2020, the Atlanta market has seen a steady increase YOY.

– The increase in visitation is steadily shrinking the gap between the two, but a 330-basis point delta signifies there is office space actively being paid for that is sitting vacant. As a result, the amount of leased space has decreased 0.7% YOY since Q3 2019 as tenants are evaluating their vacant space when it comes time for renewal negotiations.