Q3 2022 Office Market Reports
The Q3 2022 Office Market Reports offer a comprehensive look at the state of the office market in Downtown Bellevue as it navigates post-pandemic recovery challenges. Despite economic pressures, including rising interest rates and high inflation, over 30,000 new jobs were added in Washington during Q3, showcasing the resilience of the local workforce. However, Colliers reported a notable decrease in leasing activity, with the Eastside's vacancy rate climbing to 10. 5%, largely due to increased sublease availability. Cushman & Wakefield indicated that the Puget Sound region is approaching full recovery, supported by near-record high rents and an increasing trend in new construction.
In contrast, JLL's data revealed a record-high overall availability rate of 19. 2%, suggesting a continuing shift in the market. Kidder Mathews highlighted the persistent rise in vacancy rates, which have increased for nine of the last eleven quarters, reflecting ongoing challenges in the office sector. Lastly, Newmark observed that overall vacancy remained stable at 11. 2%, amid an uncertain economic climate affecting return-to-work strategies.
This blend of data underscores the complex dynamics currently shaping the Puget Sound office market.