It won’t be until next year that net office space absorption is projected to turn positive in 2024 and will total approximately 30.6 million square feet for the year, according to a report this week from NAIOP.

The forecast accounts for the possibility of a recession in 2023 (a 60% likelihood), with economic growth in 2024 expected to support a recovery in the office market.

NAIOP reported a 17.8% vacancy rate in office space through the first quarter of 2023, its highest level since Q2 1993. Average office occupancy across the 10 metropolitan markets tracked by Kastle Systems remains at only 49.9%.

Complete your profile to continue reading and get FREE access to, part of your ALM digital membership.

Your access to unlimited content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
  • Exclusive discounts on ALM, BenefitsPRO magazine and events.
  • Access to other award-winning ALM websites including and

Already have an account?


© 2023 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.


Join BenefitsPRO

Don’t miss crucial news and insights you need to navigate the shifting employee benefits industry. Join now!

  • Unlimited access to - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including and
  • Exclusive discounts on and ALM events.

Already have an account? Sign In Now
Join BenefitsPRO

Copyright © 2023 ALM Global, LLC. All Rights Reserved.