Norfolk Office Figures Q4 2025

The Norfolk office market recorded 51,945 sq. ft. of negative absorption during the third quarter. The largest move in of the quarter was Xylem Tree Services’ move into 52,000 sq. ft. at 150 Granby Street. The largest space to become vacant was 58,035 sq. ft. at Oxford Plaza which is located at 1 Enterprise Parkway in Hampton and is now fully vacant. Large move-outs like this one narrowly outpaced occupancy gains for the third consecutive quarter, yielding negative net absorption for the year.

Despite occupancy loss during the quarter, the overall vacancy rate for the market held at 10.9%. While this is an increase year-over-year, the vacancy rate remains relatively healthy and among the lowest across Mid-Atlantic markets. Asking rates edged up to $21.90 per sq. ft. per annum on a full-service basis and availability is still relatively low at 11.9%.

Activity increased from the prior quarter, with 293,000 sq. ft. of leasing spread across 41 transactions. Of these, 73% were relocations. Just eight transactions were larger than 10,000 sq. ft.