The overall vacancy rate remains relatively unchanged until the 2.5M square feet of office space that is currently under construction is delivered. A flurry of market activity post construction delivery will ultimately swing vacancy and absorption totals.
Average asking rents in the market were $23.47 per square foot with Class A rents averaging $27.44 per square foot. The increasing demand for high-end, Class A space in the major Triangle submarkets will continue to push rents higher. Tenants seeking Class A space are willing to pay aggressive rents for key locations and space configuration.
The Triangle region is home to the second most educated city in the country bringing higher levels of innovation and high-tech employment to the area. Nationally, tech tenants continue to lead the charge and the Raleigh-Durham region is no exception. Raleigh ranked fourth in the country for the highest concentration of tech job openings behind San Francisco, Austin and Seattle.
2018 Q2 Raleigh Durham Office Report
Author: Kelsey Rogers
Date Published: 07/24/2018