The Death of the Suburbs? For Office, It’s Greatly Exaggerated

SAN FRANCISCO—Al Pontius wants to make it clear upfront. The Marcus & Millichap SVP doesn’t believe the suburbs will be the breakout office story of 2019. He is saying, however, that there’s an active and growing office market beyond the confines of the CBD that the consumer press–and sometimes the trade press–gets wrong

The suburban office market is, much like overall US office conditions, riding the wave of the upcycle, as the firm pointed out in its North American Office Forecast: “Though demand for urban space is climbing, suburban offices that are proximate to amenities are still highly sought after by employers. Shorter commute times and more innovative suburban office layouts can be attractive to suburbanites. Aging millennials, in particular, find these locations appealing as they transition from an urban to suburban lifestyle.”