Figures

San Antonio Office Figures - Q2 2024

July 8, 2024 5 Minute Read

Through the first two quarters of the year, tenants have taken occupancy of over 138,600 sq. ft., nearly all of which occurred this quarter due almost entirely to Galen College of Nursing occupying 157,000 sq. ft.
Despite the positive absorption, vacancy ticked upward by 50 basis points (bps) since year-end 2023; this is largely due to 175,000 sq. ft. of the 200,000 sq. ft. that delivered in the first quarter remaining vacant.
There is another 130,000 sq. ft. in the pipeline with zero preleasing in place set to deliver. River Mill in the Northeast submarket is slated for delivery next quarter, which will further elevate vacancy.
Leasing activity has totaled over 1.0 million sq. ft. in the first half of 2024, well ahead of last year’s pace.
While the market has experienced continued softening since the pandemic, fundamentals are generally on a positive trajectory with Class A space seeing the strongest growth. The tightening in higher quality space. Since 2022, 75.3% off all occupancy gains have occurred in Class A space.