Larger Philadelphia CBD requirements have experienced the least COVID-19 related disruption
Smaller tenants are the most likely to postpone decisions, while no tenants over 75,000 s.f. have opted to postpone at this time
June 08, 2020
Share of total tenant requirements by size
- Over the past few months, COVID-19 has changed how we live and work. For those of us working in office buildings, we have had to adapt to the new work from home environment, no longer making the daily commute to our offices across the city to collaborate in-person with colleagues or meet with clients. However, companies are still working diligently to examine their lease requirements and determine what their local office footprints will look like in the future.
- Prior to the mid-March 2020 shutdown of offices in the Philadelphia CBD, JLL was tracking 2.1 million square feet of office tenant requirements in the market. We’ve since taken a closer look at the status of these requirements. Overall, the majority of known tenants in the market have opted to delay or put their searches on hold (51.5 percent), while 13.2 percent have postponed indefinitely. Looking closer at the data, we determined that the smaller the tenant, the more likely it is that they are postponing indefinitely: 1 in 5 tenants seeking less than 10,000 s.f. have postponed indefinitely at this time, whereas none of the tenants seeking 75,000 s.f. and up have done so.