- Midtown was again hit with a large move-out by AT&T in the third quarter which ultimately resulted in a second consecutive period of negative absorption.
- Following last quarter’s full-percentage point drop, the vacancy rate in the submarket stabilized in Q3, only dropping 10 basis points. It remains below 10%, and is still the lowest of Atlanta’s major office submarkets.
- Although the overall average rental rate in Midtown increased for a 12th consecutive quarter, the submarket’s Class A average rates decreased for the first time in four years. It still remains the highest in Atlanta though.s
- At 2 million square feet, Midtown’s construction activity remains the highest in the city. This number could jump even further as a number of prospective projects have entered the picture.
- Q4 will see another vacancy by AT&T; however, the delivery of NCR’s 2nd phase should produce a positive quarter of absorption.