North Texas office market loses ground in 2Q 2018

​DALLAS-FORT WORTH-ARLINGTON – The local office market saw a slight reversal of fortune in second quarter 2018 as net absorption turned negative, making it the nation’s only top-ten metro to lose ground.

The area’s office vacancy rate rose by 0.4 percent to 15.2 percent, with more un-leased construction set to deliver by year-end 2018 according to a report released by Colliers International.

Net absorption was a negative 288,945 sf, down from a robust 973,175 sf in 1Q 2018.

Vacancy rates rose in the three core submarkets tracked by the report—most notably from 11.9 percent to 13.1 percent in Uptown/Turtle Creek, according to Colliers.

Uptown/Turtle Creek is the city’s hot construction market now, with 1.2 million sf of space scheduled for completion by the end of the year.

That space is 56 percent available.​​​