Austin office market report

Q3 2024

Austin’s office market continues to demonstrate strength, with absorption remaining positive for the third consecutive quarter and leasing activity following a similar trajectory with an uptick in demand. The Office Busyness Index by Avison Young highlights the resilience of Austin’s trophy office properties, which are outperforming the national average with a busyness index of 84.7%. This indicates a growing preference for high quality spaces with superior amenities and urban walkability. The positive momentum in Austin’s office market reinforces the resilience and confidence in the region’s long-term recovery, driven by factors such as a strong job market, growing population, and a vibrant business community.

1.3 msf

Leasing activity remains positive in Q3

Austin's office market saw a significant boost in leasing activity during the third quarter, driven by IBM's takeover of Meta's 320,000-square-foot space at Domain 12. This key transaction highlights the positive momentum in the market, with quarter-over-quarter improvements signaling Austin's continued recovery and growing stability.

84.7%

Austin’s trophy assets visitation is above the national average

Austin’s trophy office properties are exceeding the national average for office utilization, boasting a busyness index of 84.7% compared to the national figure of 67.1%. This impressive performance is fueled by a growing demand for premium office spaces that provide top-tier amenities, convenient walkability, and excellent accessibility within the city’s urban core.

+743,000 sf

Q3 realizes positive absorption

Absorption has stayed positive for the third consecutive quarter, reaching 743,000 square feet year-to-date, reinforcing the strength and resilience of Austin’s office market. Significant move-ins contributing to this growth include the City of Austin, occupying 103,000 square feet, and AMD's commencement of a 67,625-square-foot lease.

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Get in-depth office market reports and insights from commercial real estate experts in the Greater Austin area. Avison Young advisors look at Austin commercial real estate activities and the latest Austin statistics to provide you expert market research on Austin's office properties.

Explore different topics like the latest office market pricing trends and analysis of Austin's current office real estate market conditions. Gain a better understanding of Austin’s office real estate outlook and stay ahead of current office space trends. Make smart decisions when it comes to investing in office properties in Austin's competitive office real estate market. Avison Young is your trusted source for commercial real estate office market insights in Austin.