The Hampton Roads Office market ended the fourth quarter 2017 with a vacancy rate of 9.2%. The vacancy rate was up over the previous quarter, with net absorption totaling negative 98,773 square feet in the fourth quarter. Vacant sublease space decreased in the quarter, ending the quarter at 99,817 square feet. Rental rates ended the fourth quarter at $17.39, an increase over the previous quarter. A total of two buildings delivered to the market in the quarter totaling 201,923 square feet, with 392,480 square feet still under construction at the end of the quarter.
The largest lease signings occurring in 2017 included: the 70,760-square-foot lease signed by Amerigroup Corporation at Corporate Center V in the Southside market; the 47,661-square-foot deal signed by Virginia Beach Health Dept at Corporate Center III in the Southside market; and the 45,000-square-foot lease signed by Optima Health at 824 N Military Hwy in the Southside market.
Hampton Roads Office Snapshot 2017 Q4
Author: Statia Gibson
Date Published: 01/15/2018