Chicago Office Report: Q2 2021

Chicago’s office market continues to be an area to watch. Home to many Fortune 500 headquarters and major regional outposts, the remote work phenomenon is likely to place downward pressure on rents and vacancies moving forward. 

• The vacancy rate, which currently sits at 19.1%, is up 110 basis points over the last 12 months. 

• Effective rents are down nearly 2% over the same period.

• We estimate that the structural changes in this sector will cause a further decline of greater than 4% prior to a recovery beginning in 2022.

In the report, you can expect to find submarket analysis on the West Loop, East Loop, South Loop, Central, River North, and North Michigan Avenue. This report contains information you need to know including market data based on concessions, real transactions (not just the asking rents), effective rents, vacancy trends, traditional vs flex space desk costs, important benchmarking insights, household income growth and job growth.