Detroit Office Market
The Metro Detroit office vacancy rate climbed 10 basis points to 22.3% during the second quarter of 2024, as just over 60,000 SF of net vacancy was added to the market. The bleeding appears to be slowing down in the office market. The first two quarters of 2024 saw 328,000 SF in net vacancies compared to 1.5 million SF mid-2023. Available sublease space grew 7% during the second quarter of 2024 to just over 2.1 million SF.
Download Detroit Office Market Report 2Q24
Detroit Industrial Market
The Detroit Metro industrial vacancy rate remained at 3.9% during the second quarter of 2024. Nearly 70% of 963,866 SF in net absorption during the quarter was attributed to completed build-to-suit construction. The construction pipeline has trended mostly downward over the past four quarters. Build-to-suits make up 1.0 million SF of active construction. Speculative construction has dropped to 857,000 SF from a high of over 5 million SF last year. Average asking rent grew by just 0.64% during the second quarter of 2024. The year-over-year growth rate is far off the 21.54% seen in 2022.