Portland Office Figures Q2 2026

The Portland office market showed further signs of stabilization in the second quarter, recording approximately 115,000 square feet (sq. ft.) of positive net absorption. While year-to-date (YTD) absorption remained negative at 202,000 sq. ft., this represented a substantial 392,000-sq.-ft. improvement from the same period one year ago. Overall vacancy declined 20 basis points (bps) quarter-over-quarter (QOQ) to 27.0%, though it remained above year-ago levels. Average asking rents reached $32.71 per sq. ft., reflecting continued resilience despite elevated vacancy.

Leasing activity was led by professional and financial services firms, highlighted by Merrill Lynch's 35,000-sq.-ft. renewal at PACWEST, Perkins & Co.'s 31,000-sq.-ft. relocation to First & Main, and Geffen Mesher & Co.'s 30,000-sq.-ft. lease at 200 Market, following the property's recent off-market acquisition by Melvin Mark Investors and Swickard Automotive. While speculative office construction remains absent, a notable exception is a new 40,000-sq.-ft. Class A flex/R&D facility under development at Columbia Tech Center, which will serve as a Toyota training center for the Pacific Northwest upon completion later this year; the project is classified within and accounted for in the Q2 industrial under-construction inventory.