Along with Silicon Valley, Seattle has led the nation in leasing by technology firms
Office leasing data shows the Seattle/Puget Sound office market witnessed the second most leasing activity by technology companies from 2014 to 2018
July 03, 2019
- According to office leasing data collected by JLL research, the Seattle/Puget Sound office market witnessed the second most leasing activity by technology companies for the four year period from 2014 to 2018. This puts the Puget Sound just behind Silicon Valley, which has witnessed similar dynamics in that large technology users have dominated the local office market.
- The Puget Sounds’ outperformance here is perhaps unsurprising given the scale at which select large technology users have grown to locally, but it does illuminate on a relative basis just how dominant technology users have been here in Seattle. The Puget Sound ranks ahead of office markets like Boston, New York and Washington DC which have all witnessed their own impressive technology growth. With that said, these three markets have office inventories that range from 60.0 to 370.0 percent larger than the Puget Sound.
- For much of this cycle, this leasing activity by technology firms has largely been focused on Class A office space. This has had the effect of pushing rents up considerably for high quality office product across the region. Looking forward, we expect rents for Class A office product to continue to rise as the development pipeline quickly leases up to large technology users.
Source: JLL Research