Q2 2022 Atlanta Office Market Report

Atlanta’s office market is back in positive territory in 2022, recording nearly 1 million SF of net absorption through midyear. Midtown is attracting the greatest share of occupancy gains with Q2 absorption just north of 620,000 SF. Overall leasing activity is up 35% relative to Q2 of 2021 and the vacancy rate fell for the first time in nearly four years. While overall activity still pales in comparison to pre-pandemic levels, relocation and expansion announcements are rising in frequency. McKinsey & Co. just announced a 700-person expansion of its technology division in Atlanta, copying tech firms such as Microsoft, Google and Cisco that recently committed to the area. Of the Class A space currently under construction, approximately 30% of it is committed, which will have an inflationary effect on vacancy through the end of 2022. This additional availability will provide new and expanding office occupiers more places of entry to tap into Atlanta’s deep and expanding talent pool.