Central Perimeter had its strongest quarter of absorption in more than a year in Q1. Just over 181,000 square feet of space was filled during the quarter which is the highest amount the submarket has seen since the end of 2016.
Westrock completing its occupancy at 400 Northpark was the largest move-in this quarter. Fewer vacancies coming to market also helped keep the absorption figure high.
Office vacancy did increase in the submarket despite the positive activity. This is because of the delivery of 4004 Perimeter Summit which came online with no tenants. The delivery also contributed to the submarket’s 6% increase in rental rates this quarter as well.
After a sluggish year of occupancy losses, it appears the tables are beginning to turn around for Central Perimeter. A number of large lease transactions were signed here this quarter, and interest in office space here has begun to pick back up.
Central Perimeter had its strongest quarter of absorption in more than a year in Q1