Houston office market report
Q2 2024
Leasing activity in Trophy properties continues to outperform the broader market. As the flight-to-quality trend persists and the construction pipeline remains suppressed, this could lead to rent premiums and shrinking concessions in Trophy properties as the supply of high-quality space options becomes more constrained. Tenants are seeking higher-quality office environments that replicate the desirable aspects of working from home.
Net absorption concentrated mostly in high quality product
Trophy assets continue to boast lower vacancy rates
Leasing activity slows down
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