Brookmere Office Market Report, Q3 2026

Downtown office vacancy fell 40 basis points in the third quarter to 11.8%, the second consecutive quarterly decline. Net absorption was positive in Riverside and Old Town, and negative in the suburban Class A segment as two large users consolidated.

Asking rents for Class A space averaged $31.20 per square foot full service, up 3.1% over twelve months. Concessions are shrinking: tenant improvement allowances for new 10-year leases fell from $85 to $72 per square foot.

For tenants with expirations in 2027, the message is to start early. The pool of contiguous blocks over 20,000 square feet is thin, and the best floors are being pre-leased a year ahead.