Portland office construction boom in line with other West Coast markets
The Portland metro’s current office development pipeline has just over 1.6 million square feet under construction and under renovation.
October 30, 2019
- The Portland metro’s current office development pipeline has just over 1.6 million square feet under construction and under renovation.
- 54 percent is ground-up projects that will be adding to the total supply, while the other 46 percent is renovation or redevelopment of older or defunct buildings.
- The majority of development remains focused in the urban core, which is responsible for 80 percent of the pipeline and is currently 18.3 percent pre-leased to tenants such as NW Natural Gas, Regus Spaces and Hacker Architects.
- While the elevated level of office development remains historically high for Portland, it is set to slow down considerably over the next year when all but Block 216, JK Gill and Arete will deliver.
- In terms of square feet, office construction in Portland is significantly lower compared to major West Coast market in the Bay Area, Seattle and Los Angeles and Portland’s percentage of total inventory under construction sits in the middle of the pack at 2.9 percent, the 5th highest on the West Coast.
Source: JLL Research