Charlotte Office Market Report
| Average Asking Rent (Price/SF | $33.73 |
| Vacancy Rate (%) | 19.6% |
| Net Absorption (SF) | 174,840 |
The Charlotte office market entered the new year on strong ground. Tenant movement resulted in a gain of 174,840 square feet, a vast improvement from the space that was returned to the market last quarter. Absorption was also down from the same period one year ago but still resulted in positive net absorption. Notable lease terminations include 525 N. Tryon St., where Bank of America moved out of 204,000 square feet as of October 4, 2022. On the positive side, Bank of London moved into 44,000 square feet in the same submarket, further cementing Charlotte as a new banking hub. Overall vacancy ticked upwards by 30 basis points, to 20.2%. This is up from the preceding quarter at 19.9% and relative to 18.9% one year ago. By way of segmentation, Class A office buildings in Charlotte posted an average asking rental rate in the first quarter of 2023 at $35.13/SF, up from $34.70/SF the preceding quarter and relative to $33.96/SF one year ago. For Class B office buildings, average asking rental rates posted $30.65/SF, up from $30.17/SF the preceding quarter, and relative to $28.00/SF one year ago
Download Charlotte Office Market Report 1Q23