St. Louis Office Market Report

CBD retains record-low availability. Among major U.S. markets, St. Louis was tied for the lowest urban core vacancy rate in March at 8.8 percent. The metric hit a record low in the fourth quarter of 2022 and held this position through the first three months of 2023, largely aided by the Class B/C segment, which registered vacancy of just 5.2 percent here. Companies seeking a reduced mean asking rent may target space in the CBD as the area noted an overall rate of $16.47 per square foot in March, roughly $4 below the suburban rate. Lower- and mid-tier properties have also been relatively stable across the metro. The segment’s vacancy rate sat 180 basis points below the long-term average in March at 8.9 percent, allowing St. Louis to claim the lowest Class B/C rate among major Midwest markets.