Placer.ai’s Post

Office Demand Stabilizing at About Half of Pre-Pandemic Levels

Last month showed signs of the office recovery needle starting to move again. Here's where it stands today: 📌 In March 2024, nationwide office visits were just 32.7% below March 2019 levels – and higher than nearly every other month since COVID. 📌 Miami and New York held onto their regional post-pandemic recovery leads, with impressively small respective visit gaps (compared to March 2019) of 14.1% and 17.2%. 📌 Though San Francisco still had the biggest visit gap versus Pre-COVID (~50.0%), the city continued to lead other major hubs in year-over-year (YoY) office visit growth – perhaps reflecting the upswing in demand for office space that has observers bullish about local market prospects. Full report linked in the comments. #office #data #analysis

With stabilization of demand in place, stabilization of rents at a lower basis point are in sight.

Did You Hear About This? Real estate notebook: More Atlanta companies mandate in-person returns. After three years of remote and hybrid working, few are expecting office usage to fully return to pre pandemic levels. http://ow.ly/kJOz1051UgZ #BCRE #FutureForward #Atlanta

Amid the cultural and economic shifts of the last few years, we are experiencing the fallout of a total Office Apocalypse, and the implications for office tenants are substantial. Here’s a look into how remote capability, high vacancy rates, dropping property values, and high interest rates each play a crucial role in the evolution of how we perceive, utilize, and invest in the offices of the future >> bit.ly/48ibLbh TenantReps Lic. N. 01480817 #TenantReps #CRE #CREInsights #CommercialOfficeSpace #OfficeRealEstate #FutureOfOfficeSpace #OfficeBuildings #CommercialOffice

Important info with survey on factors that are having major impact on return to office policies. Please read and share for wider reach #returntooffice

Did You Hear About This? Real estate notebook: More Atlanta companies mandate in-person returns. After three years of remote and hybrid working, few are expecting office usage to fully return to pre pandemic levels. http://ow.ly/kJOz1051UgZ #BCRE #FutureForward #Atlanta

Regarding RTO and the current state of remote work, among other factors: "America’s offices are emptier than at any point in at least four decades, reflecting years of overbuilding and shifting work habits that were accelerated by the pandemic. A staggering 19.6% of office space in major U.S. cities wasn’t leased as of the fourth quarter, according to Moody’s Analytics, up from 18.8% a year earlier. That is slightly above the previous records of 19.3% set in 1986 and 1991 and the highest number since at least 1979, which is as far back as Moody’s data go." #rto #remotework The Wall Street Journal Konrad Putzier

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But let's not forget the value of traditional offices! Amidst the rise of remote work, nothing can replace the magic of face-to-face interactions and the sense of camaraderie that offices foster. As we embrace the future of work, let's remember that some goals are best achieved in the hallowed halls of brick-and-mortar offices. 🏢👍💼 #realestate #investment #citytransformation #trustworthybusinesspractices