Q1 2022 ATLANTA OFFICE MARKET REPORT
The Atlanta office market continues to combat the lingering effects of the pandemic as the vacancy rate has increased 40 basis points in the last quarter and net absorption has decreased over 1.4 MSF from Q4-21 to Q1-22. Sales activity has skyrocketed entering the new year as the sales volume for the first quarter of 2022 reached $900M, in comparison to the $250M that took place at the end of 2021. Under construction provides some optimism for the market as nearly 5.5 MSF is currently still being developed and will be delivered in the later quarters of 2022 and the beginning of 2023. Rental rates have seen a slight increase as the Atlanta market continues to see a flight to quality trend throughout the metro. The Atlanta office market will see more growth as employees return to the office and the Midtown submarket continues to attract large tenants to new and existing office spaces.