As 2020 ended, Portland’s office market suffered the worst year on record in terms of net absorption, posting -1.7M SF between Q1 and Q4. Vacancy responded by increasing from 10.7% in Q1 to 13.6% in Q4, and asking rents decreased 2.5% over the same period. Compared to a year ago, however, rents remain virtually unchanged. While Portland’s CBD asking rents remained fairly stable, dropping barely below $38 PSF (gross), concessions rapidly rose last year putting pressure on effective rents. Despite investment volume being the lowest in 7 years, pricing remained relatively unaffected, at $295 PSF, which represents annualized growth of 6% since 2013.