Following two consecutive quarters of positive absorption, Central Perimeter experienced a loss of occupancy this quarter. State Farm was the largest contributor to this as the company moved out of its 185,000 square feet of space at South Terraces.
Even with the large vacancy by State Farm, the submarket’s office vacancy rate did not fluctuate much from last quarter.
Central Perimeter had a couple of large, notable leases in the quarter. OneTrust was the largest at 73,000 square feet and will relocate its Midtown Atlanta office to the submarket. Carr, Riggs,
& Ingram’s 50,000 square foot lease is a win for the owners of 4004 Perimeter Summit who have been patiently waiting for an anchor tenant since the building delivered earlier this year.
Average rents for the submarket increased for a fifth straight quarter.
The Central Perimeter submarket is expected to end the year as one of Atlanta’s leading office submarkets in 2018.
3Q 2018 | Atlanta Office Central Perimeter Submarket Report