The North Office Area (NOA) vacancy increased from 6.8% to 7.0%. (+0.2%)
Of the 35 NOA buildings, nine reported a change in vacancy, with three of those buildings increasing by more than 5,000 square feet. The negligible increase reinforces our vacancy report historical data showing that NOA buildings attract long-term tenants, bringing stability to NOA landlords, even in difficult times. Nevertheless, underneath the relatively stable vacancy rate, this year there was a lack of significant new demand for office space in the NOA. Anecdotally, a listing broker reports that a Class A NOA office building with a sizable vacancy has had but a single new prospect inquiry since the beginning of the pandemic. Typically, in that same time frame, a quality Class A office vacancy in the NOA would draw a half-dozen or more inquiries by prospective tenants.