October 2024
Hiffman Releases Third Quarter 2024 Office Market Report
NAI Hiffman is pleased to present the Third Quarter 2024 Office Market Report, an in-depth look at statistics for the Chicago metropolitan office real estate markets.
Chicago’s Suburban Office Faces Formidable Market Conditions
- Chicago’s suburban office market experienced uneven fundamentals during the third quarter, driven by several factors, including subdued demand, stricter capital availability, and ongoing economic uncertainty.
- Net absorption totaled -285,389 square feet during the third quarter.
- Vacancy reached an all-time high at 26.2%, up from 25.5% one year ago.
- The suburban office market registered 903,028 square feet of new leasing activity during the third quarter of 2024, down from 1,604,855 square feet in 2023.
Downtown’s Office Sector Faces Further Softening as 2024 Unfolds
- Chicago’s CBD office softened again during the third quarter with -273,949 square feet of absorption.
- Overall vacancy continues to tick up, hitting a new cyclical high of 23.2% during the third quarter.
- The downtown market registered 1.4 million square feet of new leasing activity during the third quarter of the year, down 31.4% year-over-year.
Contact Us
Nick Schlanger
Director of Research Services
630-691-0600
nschlanger@hiffman.com
David Mathis
Research Analyst
630-389-8922
dmathis@hiffman.com
About NAI Hiffman:
NAI Hiffman is one of the largest independent commercial real estate services firms in the US, with a primary focus on metropolitan Chicago, and part of the NAI Global network. We provide institutional and private leasing, property management, tenant representation, capital markets, project services, research, and marketing services for owners and occupiers of commercial real estate. To meet our clients’ growing needs outside of our exclusive NAI Hiffman territory, we launched Hiffman National, our dedicated property solutions division, which provides property management, project services, and property accounting services across the country. NAI Hiffman | Hiffman National is an award winning company headquartered in suburban Chicago, with more than 250 employees strategically located throughout North America.
About Hiffman National:
Hiffman National is one of the US’s largest independent commercial real estate property management and advisory firms, providing institutional and private clients exceptional customized solutions for property management, facility management, advisory services, accounting, lease administration, lender services, project management, marketing, and research. The firm’s comprehensive property management platform and attentive approach to service contribute to successful life-long relationships and client satisfaction. As a nationally bestowed Top Workplace, and recognized CRE award winner, Hiffman National is headquartered in suburban Chicago, with more than 250 employees nationally and an additional six hub locations and 25 satellite offices across North America.
