Portland office leasing volumes down significantly in 2020
Amidst COVID-19, the office leasing market has effectively halved since March
July 21, 2020
- Post-COVID office leasing has just passed 500,000 square feet but leasing volume still remains roughly half the average of the past 3 years
- The percentage of renewals has increased from roughly 1/3 to 1/2 of all deals, with average renewal terms decreasing from 53 months to 36 months
- Leasing activity has switched from being majority Urban Core to Westside Suburbs
- Tenant in the market activity has also shifted to the suburbs and JLL is now tracking more active tenants in the Westside Suburbs than the Urban Core for the first time in over 5 years
- The largest deal of 2020 has been the State of Oregon Employment Department’s 120,000 square foot lease at Five South in the I-5 South Corridor.