Author Archives: Neil Bouhan

Q3/22 Downtown Chicago Market Report

Published October 7, 2022

Bradford Allen is pleased to share with you our latest office market report.

This quarter in the downtown office market:

  • Absorption levels turned positive for the first time this year at 221,780 s.f. for Q3
  • Direct vacancy remained relatively unchanged at 18.3%
  • The gross asking rate for the market is $43.94 p.s.f.
  • Sublet availability remained steady at 4.3%

 

CRE Office Pulse 006: Chicago Office Supply Growth Screeches to a Halt

Published July 28, 2022

In Chicago’s CBD, new office construction has come to a screeching halt, only a couple years after hitting record highs. And even as the effects of the pandemic dissipate, new development continues slowing. What’s behind this deceleration in supply growth? We identify four primary factors weighing on the office construction market and discuss long-run implications for the CBD.

Read on to find out more

 

Mid-Year 2022 Chicago Suburbs Office Market Report

Published July 14, 2022

Bradford Allen is pleased to share with you our latest office market report.

This half in the suburban office market:

  • Absorption levels improved but remained negative at -350,000 s.f. for Q2
  • Direct vacancy increased to 28.6%
  • The gross asking rate for the market is $25.42 p.s.f.
  • Sublet availability remained steady at 4.3%

 

Q2/22 Downtown Chicago Office Market Report

Published July 14, 2022

Bradford Allen is pleased to share with you our latest office market report.

This quarter in the downtown office market:

  • Absorption levels improved but remained negative at -300,000 s.f. for Q2
  • Direct vacancy increased to 18.4%
  • The gross asking rate for the market is $42.87 p.s.f.
  • Sublet availability slightly increased from 3.9% in Q1 to 4.1% in Q2

 

Q1/22 Downtown Chicago Office Market Report

Published April 19, 2022

Bradford Allen is pleased to share with you our latest office market reports.
Chicago’s downtown office market remained dynamic amid distress in Q1/22 as the flight-to-quality trend continued. With a direct vacancy rate above 18%, rising sublet availability, high-profile properties in distress and ample new deliveries, tenants are finding enticing concessions. Digging beneath the headline statistics, we note:

  • The direct vacant and available rate was slightly lower (14.9%) than last quarter (15.2%).
  • Net absorption turned negative after a positive Q4/21, but demand is robust for Class A space in red-hot submarkets
  • Sublet availability is skewed toward Class B buildings.
  • Class B buildings comprise the majority of properties with troubled loans.