Chicago Office Market Report
Minimal Speculative Development Helps
Slow Expanding Vacancies Across the Metro
Employment pressures challenge upper-tier office usage. Following Meta and Salesforce’s announcements of reduced staff counts, the companies have confirmed their intent to offer up a combined 240,000 square feet of office space for sublease in Chicago. Salesforce’s portion will be made available in its new high-rise as the company continues to offer hybrid and remote schedules, further reducing space demand. This theme is common among large local employers, prompting Class A vacancy to register the fourth-highest rate among major U.S. metros. Businesses looking to shrink their footprint while upgrading quality may help curb this elevating vacancy, as seen by Molson Coors’ anticipated move into the BMO Tower. A tame delivery slate in 2023, aside from the Salesforce Tower, should also ease upper-tier availability in the long-run.