Cincinnati Office Figures Q4 2023
January 10, 2024 10 Minute Read
‒In the polarized office market, vacancy has become concentrated in outdated assets. As occupiers continue to reinvent their workplace design, the strict demand for newer inventory has left leasing activity in vintage inventory with a significant burden. In Cincinnati, 80% of the market’s vacant office space is concentrated in just one quarter of the market’s office buildings. Modern space, buildings built or renovated after 2010, continue to see positive absorption while others continue to battle the effects of the hybrid work model.
‒The Greater Cincinnati office market experienced turbulence in the downtown index due to two large move outs. Nielsen’s 77K sq. ft. sublease expired at Columbia Plaza and Kroger Digital Marketing vacated nearly 75K sq. ft. at Atrium II.
‒Leasing activity declined marginally quarter-over-quarter with 288K sq. ft. of transaction volume. Smaller leases continue to carry the metric as users continue to reassess their space needs and reduce their footprints. Class A office space across the region accounted for 66.8% of all sq. ft leased this quarter.