How to Read an Office Market Report Without Over-Reading It

Short answer: Read an office market report by separating gross leasing from net absorption, checking vacancy against new supply, treating quoted rents as asking levels rather than deal prices, and confirming the geography and building grade the figures cover. Then test the headline against the specific corridor and building you are considering.

Why reports need careful reading

Quarterly reports from property consultants are useful for orientation. They are also written at a city or micro-market level, use definitions that differ between publishers, and headline the most striking number. Decisions about a particular building need the detail underneath.

Gross leasing versus net absorption

Gross leasing counts all transactions signed, including renewals and relocations within the same city. Net absorption measures the change in occupied space. A strong gross number can coexist with flat net absorption if most activity is companies moving around.

Vacancy and new supply

Vacancy is the share of completed space that is unoccupied. Read it alongside the supply pipeline: vacancy can rise because new buildings completed rather than because demand weakened. For occupiers, high vacancy in a corridor usually means more negotiating room.

Quoted rents

Reported rents are generally asking or quoted rents. Achieved rents after rent-free periods, fit-out contributions and escalation terms can differ. Use them as a band, not a price.

Check the scope

Confirm which cities, micro-markets and building grades are included, whether the report covers only Grade A stock, and whether the period is a quarter or a year. Figures from two publishers are rarely directly comparable.

Using a report in a decision

Use the report to frame questions: is this corridor tightening or loosening, is new supply coming nearby, how do quoted rents here compare with the next corridor? Then verify against current options and recent comparable deals for the specific building.

Frequently asked questions

Are market report figures reliable?

They are reasonable orientation from established consultants, but methodologies differ. Treat them as context and verify against current, building-level information.

Which number matters most to an occupier?

Usually vacancy and supply in the specific micro-market, because they indicate negotiating leverage.

Does PrimeSpaceWorks publish rents?

No. We do not publish property prices or commercials on this website; they are shared through a signed advisory brief.