As developers break ground on new projects in a growing number of markets where job growth, rising rents and falling vacancies are finally justifying new development, U.S. office construction has reached its highest level since 2008. Based on the CoStar Analytics data shows about 86 million square feet of higher-end office properties larger than 50,000 square feet under construction. As researchers discover more new projects breaking ground before the end of 2014, the total amount under construction for the year is likely to rise even higher.
Excerpts from the article:
“U.S. office construction has reached its highest level since 2008 as developers break ground on new projects in a growing number of markets where job growth, rising rents and falling vacancies are finally justifying new development. An analysis of CoStar Analytics data shows about 86 million square feet of higher-end office properties larger than 50,000 square feet under construction, a 25.7% increase compared to 2013’s 68.5 million square feet and the highest total since the end of 2008, when 105.7 million square feet of new office space was under construction.“Drummer, Randyl. “Office Development Reaches Highest Level Since Great Recession.” CoStar News., 8 Oct. 2014. Web. 13 Oct. 2014.
http://www.costar.com/News/Article/Office-Development-Reaches-Highest-Level-Since-Great-Recession/164805