More Aggressive Demand for Space Likely As Clarity Emerges
- Economic improvement aids office sector. The U.S. economy has gained traction since inoculations became widespread.
- Hybrid work arrangements add complexity to space needs. More people becoming fully vaccinated is allowing employees to return to in-office schedules.
- Updated amenities can enhance leasing efforts. Companies reassessing floor plates may pose challenges for office owners as more sublease space becomes available.
- Bright outlook for life science office segment. The search for a COVID-19 vaccine sped up an already growing level of demand for office space from biotech and pharmaceutical companies.
*Forecast | Sources: Marcus & Millichap Research Services; CoStar Group, Inc.; Real Capital Analytics, Capital Economics; Freddie Mac; Moody’s Analytics;
Mortgage Bankers Association; National Association of Realtors; National Association of Home Builders; BLS; Federal Reserve; RealPage, Inc.; U.S. Census Bureau; Wells Fargo
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