Jacksonville Office Market Report

Leasing activity gravitates toward suburbs. After a strong first half, office absorption in Jacksonville slowed in late 2025 amid relinquishments at both the high- and low-quality ends of the spectrum. In contrast, mid-tier assets have remained the most resilient, posting consistent positive net absorption since late 2024. Geographically, Southside stands out, as tenants have increasingly favored commuter-friendly suburban locations with local amenities. Class B/C vacancy here tightened notably in 2025. Downtown Northbank experienced the opposite trajectory, as several large tenants vacated space late in the year. Citizens Property Insurance was the most prominent example. The firm returned over 200,000 square feet of space to the market upon relocating to Southside. These trends show a broader shift in demand toward suburban infill submarkets and away from the urban core heading into 2026.