By AZRE
The Phoenix office market posted more than 604,000 square feet of positive office space absorption during Q3 2021, according to the new JLL Phoenix Office Insight Report, but a single 721,000-square-foot move-out by Chase Bank negated the gain.
The scenario underscores the improving – but still-vulnerable – state of the local office market, according to Curtis Hornaday, Research Manager for JLL in Phoenix.
“Considering the extreme dynamics of the past 18 months, the metro Phoenix office market is performing well, with rents rising and demand accelerating,” said Hornaday. “Since April, over 562,000 square feet of speculative office product has started construction to meet that demand through high-end, Class A projects like The Grove on the Camelback Corridor and The Beam on Farmer in downtown Tempe.”
