The top of Boston’s market has 27 tenants vying for just 18 existing blocks of space

• For the 2nd quarter in a row, the number of tenants looking for 50,000 square feet or more outnumbers existing available blocks by nearly 50 percent.
• Since summer 2018, the supply-demand dynamic has shifted considerably. Whereas the demand has increased incrementally, the supply has dropped from 33 blocks of space to just 23.
• The constrained supply and elevated demand can explain a great deal of why Class A rents in the CBD have leapt 21 percent in the past year. 
• Continued pressure is likely to give developers the confidence to break ground on shovel-ready projects, despite it being late in the current cycle. Boston is underbuilt compared to peer markets and seems likely to maintain high levels of inbound demand from out-of-market tenants and those from surrounding towns and cities.

Source: JLL Research