Atlanta’s office market has been seeing consistently strong growth numbers for most of the past two years, and that trend continued in 2015’s third quarter. Strong absorption continued to put a strain on available space, and the competition for large blocks of space keeps getting more intense. The 578,000 square feet of absorption in the third quarter brought 2015’s year-to-date total close to 2.2 million square feet, plunging vacancy rates down to 16.8%, the lowest Atlanta has seen since the end of 2008.
Overall asking rents are up 5% from one year ago, hitting $22.27 per square foot with no signs of slowing down. That’s also the largest year-over-year growth since 2008, and the asking rent rate is the highest on record in Atlanta. On the economic side, the unemployment rate for metro Atlanta fell to 5.7%, again the lowest we’ve seen since 2008, and a 2.4% year-to-date growth in office-using jobs continues to boost demand for office space throughout the metro area.
To learn more about Cushman & Wakefield’s research numbers from 3Q 2015, including which submarkets are seeing the most rent growth, watch the video above, featuring Atlanta Research Manager Logan Menne. And to view our full Market Beat report for Atlanta, click on the thumbnail below.