Third quarter 2025 closed with a direct vacancy rate of 5.09%, an overall vacancy rate of 6.0%, and an average asking direct rental rate reported at $7.65 per sq. ft. In September, the Michigan unemployment rate was recorded at 5.2%, an increase of 0.1 percentage point compared to one year ago. In July, preliminary state-level data indicated Michigan added 64,000 jobs over the past year. Three sectors driving growth included construction, government, in addition to private education and health services. While manufacturing, retail trade, and professional business services saw a decline. In CNBC’s annual ranking of top states to do business in, Michigan ranked 6th overall. Recently formed by local economic leaders was the Southeast Michigan Development Coalition designed to focus on attracting jobs, investments and building stronger communities. U.S. jobless benefits have risen slightly while holding steady at reasonable levels. U.S. job openings reached 7.23 million in August, almost unchanged from 7.21 million openings reports in July. Consumer confidence showed signs of improvement early in the third quarter, while declining in September as concerns elevated regarding inflation and the job market. After nearly a year of holding rates steady, the Federal Reserve lowered the short-term interest rate by a quarter-point at the close of the quarter. There has been discussion of another rate reduction before year end.
The Pittsburgh industrial real estate market demonstrated characteristic stability in the third quarter of 2025, maintaining tight conditions despite a measured cooling in overall activity. While demand for large-block space softened, steady engagement from small and mid-size tenants preserved market balance. The quarter was defined by a cautious development pipeline and resilient rental rates, underscoring the region’s long-term balance due to its specialized tenant base.
Pittsburgh’s office market continues to navigate headwinds through the second half of 2025, with occupancy challenges persisting. However, Q3 2025 showed signs of optimism posting the 3rd highest net absorption (286K SF) since March 2020. Overall vacancy dropped by twenty (20) basis
Q3/25 CBD leasing volumes moderated from last quarter’s strong 2 million square foot pace but remained robust, with approximately 1.8 million square feet of deals over the past three months. Activity was concentrated in the West Loop, followed by the Central Loop, underscoring tenant preferences for newer assets with well-capitalized ownership and first-class amenity programs located near major transportation hubs—Amtrak, Metra, CTA, and highways. Demand measures improved over last quarter as absorption was notably less negative at approximately -173,000 square feet based on the data available on September 30—versus negative 1.7 million square feet in Q2/25—as tenants continue to emphasize operational efficiency in footprint decisions.
Barclay Street’s 2025 Calgary Market Summary delivers a detailed snapshot of Calgary’s commercial real estate landscape from January through April 2025. This comprehensive report breaks down key trends across the office, industrial, retail, and investment sectors, providing in-depth statistics on vacancy and availability rates, average pricing, and year-over-year performance across the city’s core submarkets.
Barclay Street’s 2025 Calgary Market Summary delivers a detailed snapshot of Calgary’s commercial real estate landscape from January through April 2025. This comprehensive report breaks down key trends across the office, industrial, retail, and investment sectors, providing in-depth statistics on vacancy and availability rates, average pricing, and year-over-year performance across the city’s core submarkets.
Calgary’s multi-family market has demonstrated strong long-term investment stability. This asset type has a ten-year average of more than $295 million in annual investment from 2013 through 2023 and 2024 is on-track to increase that metric.
Overall availability, as well as the vacant component, decreased in both the suburban and Beltline markets through the third quarter of 2024. Each market saw occupancy rise by approximately half a percent as each market posted notable positive absorption numbers; 147,000 square feet in the suburban markets and approximately 51,000 square feet in the Beltline.
The recovery of Calgary’s Downtown office market continued through the third quarter of 2024. Overall availability – and particularly the vacant component – of Downtown office space posted another quarter-over-quarter decrease. Substantial and ongoing demand for A and B class space continued to drive vacancy down in these categories and within these classes, we observed that the mid-sized range of options – those measuring 6,000 – 10,000 square feet – continued to diminish. This is especially noticeable in available sublease inventory.
Calgary Market Summary • May-August 2024
Third quarter 2025 closed with a direct vacancy rate of 5.09%, an overall vacancy rate of 6.0%, and an average asking direct rental rate reported at $7.65 per sq. ft. In September, the Michigan unemployment rate was recorded at 5.2%, an increase of 0.1 percentage point compared to one year ago. In July, preliminary state-level data indicated Michigan added 64,000 jobs over the past year. Three sectors driving growth included construction, government, in addition to private education and health services. While manufacturing, retail trade, and professional business services saw a decline. In CNBC’s annual ranking of top states to do business in, Michigan ranked 6th overall. Recently formed by local economic leaders was the Southeast Michigan Development Coalition designed to focus on attracting jobs, investments and building stronger communities. U.S. jobless benefits have risen slightly while holding steady at reasonable levels. U.S. job openings reached 7.23 million in August, almost unchanged from 7.21 million openings reports in July. Consumer confidence showed signs of improvement early in the third quarter, while declining in September as concerns elevated regarding inflation and the job market. After nearly a year of holding rates steady, the Federal Reserve lowered the short-term interest rate by a quarter-point at the close of the quarter. There has been discussion of another rate reduction before year end.
The Pittsburgh industrial real estate market demonstrated characteristic stability in the third quarter of 2025, maintaining tight conditions despite a measured cooling in overall activity. While demand for large-block space softened, steady engagement from small and mid-size tenants preserved market balance. The quarter was defined by a cautious development pipeline and resilient rental rates, underscoring the region’s long-term balance due to its specialized tenant base.
Pittsburgh’s office market continues to navigate headwinds through the second half of 2025, with occupancy challenges persisting. However, Q3 2025 showed signs of optimism posting the 3rd highest net absorption (286K SF) since March 2020. Overall vacancy dropped by twenty (20) basis
Overall the Pittsburgh Industrial Real Estate Market continues to remain healthy with vacancy hovering around 5.6% and a minor decrease in asking rents over all of the sub-markets.According to CoStar” lease volume in the fourth quarter of 2023 fell to the lowest level in more than a decade. Just 442,000 SF of space was leased in 23Q4, which is 64% below the average fourth-quarter total in the five years prior to the pandemic. In Q3 2024, the industrial real estate market in Pittsburgh experienced several notable trends.
Pittsburgh’s Central Business District (the “CBD”) is the largest office submarket in the Pittsburgh MSA. The CBD boasts more than 27.6M SF, which represents nearly 32% of total market inventory. Since having 500,000+ SF of office space hit the market in a single quarter a year ago (Q2 ’23), the total aggregate net absorption in the CBD in the past year was -260,446 SF; this indicates a pick-up in activity, although negative net absorption continues. Simultaneously, vacancy in Q2 ‘24 in the CBD is the highest its been (15.1%) since Q2 ‘20 and is expected to continue rising despite increasing leasing velocity by more than 10% per quarter since Q3 ’23.
Q3/25 CBD leasing volumes moderated from last quarter’s strong 2 million square foot pace but remained robust, with approximately 1.8 million square feet of deals over the past three months. Activity was concentrated in the West Loop, followed by the Central Loop, underscoring tenant preferences for newer assets with well-capitalized ownership and first-class amenity programs located near major transportation hubs—Amtrak, Metra, CTA, and highways. Demand measures improved over last quarter as absorption was notably less negative at approximately -173,000 square feet based on the data available on September 30—versus negative 1.7 million square feet in Q2/25—as tenants continue to emphasize operational efficiency in footprint decisions.
In the first half of 2024, vacancy rates held steady at 24%. Rental rates were also unchanged from year-end 2023, sitting at $27 per square foot. Absorption trends were notably poor with negative 814,000 square feet absorbed so far this year. This is more than double the negative 411,000 square feet absorbed through the entirety of 2023.
In Q2/24, the downtown office market’s vacancy rate surpassed 22%, an increase from 20% at year-end 2023. Absorption improved, but remained negative at -67,000 square feet in Q2, bringing the year-to-date number to negative 1.9 million square feet, more than double the negative net absorption over the same period last year. Despite these weak headline statistics, there are pockets of strength in the CBD. For example, Fulton Market continues to outperform, posting positive absorption every year since 2016.
2023 was another interesting year for the Oklahoma City office market. While the market experienced positive absorption of 30,307 square feet, that does not tell the whole story. The north submarket was the clear leader in 2023, with positive absorption of 164,433 SF, which can be attributed to two of the larger deals done in the market in 2023, Diamondback Energy taking a sizable portion of Building 13 at Chesapeake, and OU Health signing a major lease at Central Park. Looking at the other submarkets, we experienced more of the same when it comes to negative absorption, with the Midtown (-44,309 SF) and CBD (-53,656 SF) submarkets experiencing it the heaviest. While it does seem like things are beginning to calm down in the market, it is evident there are still major decisions to be made by certain tenants in the coming years as it pertains to their office space. Despite this, the office team at Price Edwards remains optimistic about the future of the Office market in Oklahoma City, as companies begin to evaluate what their return to the office might look like.
2023 was a good year for retail, better than expected. Sales were up and national vacancy is at all-time lows driven by both consumer disposable income and limited new construction as well as a stronger than anticipated economy. Locally the same dynamics were in play, vacancy ended the year at 8.9 percent, up from 8.5 percent at the end of last year. Most of the uptick in vacancy was either space coming onto the market from bankruptcies – Tuesday Morning, Party City, David’s Bridal – or some small tenant closures in older centers. It should be noted that most of the closures from national bankruptcies have either already been back-filled or deals are in process; Party City and David’s Bridal also kept a number of their stores open. There is a growing gap between the haves and the have-nots in Oklahoma City retail both in terms of vacancy and rent. If you dig into the numbers, newer, well-located centers are almost all 95 percent occupied or above. Rents on new construction, particularly restaurants, can reach $40 per square foot or more. Conversely, older centers who are not as well located have seen some slippage in occupancy and little improvement in rent over the past few years. While the local economy has held up well on an aggregate basis, there is significant uncertainty which tends to hurt smaller, local tenants more than national tenants.
The Denver office market continues to face demand challenges. As of 23Q3, Denver ranks among the worst performing office markets in the U.S. with a vacancy rate of 15.5%, surpassing levels reached during the Great Recession. A high concentration of tech companies has made Denver even more susceptible to office downsizing as they look for ways to cut expenses in lieu of reducing staff that was difficult to secure amid ongoing labor shortages.
Denver's retail market has staged a quiet, yet strong comeback, giving the sector runway to withstand a potential slowdown in the year ahead. Contributing to this comeback was the significant lift in consumer spending coming out of the pandemic. Denver's retailers now have a fresh set of headwinds to contend with in 2023. High inflation, rising consumer debt, and a high interest rate environment are weighing on purchasing power, creating challenges for local retailers. But today's retail market is entering into this uncertain season from a position of strength.
Although demand has returned since the start of 2023 after falling in the second half of 2022, household formation has been stymied by a combination of persistent inflation, rapidly rising interest rates, and rising unaffordability.12 Month Deliveries in SF: 2,446 12 Month Net Absorption in SF: 845 Vacancy Rate: 3.5% 12 Month Rent Growth: 3.0
In the first half of 2023, Bed Bath & Beyond and Tuesday Morning announced they were closing all of their San Diego area stores, impacting more than 300,000 SF of retail space.12 Month Deliveries in SF: 169 K 12 Month Net Absorption in SF: 114 K Vacancy Rate: 4.3% 12 Month Rent Growth: 4.9%
San Diego's office market is supported by a mix of defense contractors, healthcare providers, life sciences firms, and tech companies. Several top universities, including UC San Diego, the University of San Diego, and San Diego State University, provide a talent pool of job-seeking graduates and collaborative work with firms and research institutes.12 Month Deliveries in SF: 270 K 12 Month Net Absorption in SF: (997 K) Vacancy Rate: 11.3% 12 Month Rent Growth: 1.6%