2018 Q3 Gundaker Commercial Office Market Report
The St. Louis office market recorded 62,540 SF of net absorption during 3Q 2018. Direct net absorption totaled 80,556 SF of absorption with Sublet net absorption totaling a negative 18,016 SF for 3Q 2018. The total vacancy rate decreased from 11.1% in 3Q 2017 to 10.8% at the close of 3Q 2018. Direct vacancy rates decreased from 10.7% in 3Q 2017 to 10.3% at the close of 3Q 2018. Class B experienced an increase in vacancy from 9.6% in 3Q 2017 to 9.9% in 3Q 2018 while Class A experienced a decrease from 12.7% in 3Q 2017 to 11.9% in 3Q 2018. Overall asking rents (Gross) in Class A office buildings increased from $21.39 PSF in 3Q 2017 to $22.10 PSF at the close of 3Q 2018. Class B office buildings increased as well from $17.82 PSF in 3Q 2017 to $18.50 PSF at the close of 3Q 2018.
