Detroit Office Market
| Average Asking Rent (Price/SF) | $20.26 |
| Vacancy Rate (%) | 16.6% |
| Net Absorption (SF) | -321,301 |
Metro Detroit’s office market vacancy rate climbed 40 basis points to 16.6% during the first quarter of 2021 as just over 321,000 square feet in net vacancies were added to the market. In comparison, net vacancies totaled 492,000 square feet during the fourth quarter of 2020. During the same period last year, the market saw positive absorption totaling 52,000 square feet. Overall sublease space increased 2.0% to over 1.12 million square feet during the quarter. The Southfield and Troy submarket saw gains in new sublease space, while the balance of the submarkets saw modest or no gains. Overall, market activity remains suppressed due to continued work-from-home policies implemented by most companies.
Download Detroit Office Market Report 1Q21Detroit Industrial Market
| Average Asking Rent (Price/SF) | $6.00 |
| Vacancy Rate (%) | 4.9% |
| Net Absorption (SF) | 163,829 |
The Metro Detroit industrial vacancy rate climbed 60 basis points to 4.9% during the first quarter of 2021. Increased vacancies were due to new speculative construction completions and Love’s Furniture vacating 700,000 square feet following the company’s recent bankruptcy. According to the Global Business Association’s most recent national trends analysis, Michigan has been ranked as the number one state for fastest FDI (Foreign Direct Investment) jobs growth along with $11.3 billion in investments over the past five years. That trend corresponds to the level of industrial demand from both foreign and domestic industrial users in Metro Detroit. Over the past five years, 38.3 million square feet has been absorbed and 23.4 million square feet of new construction has been completed to meet demand.
Download Detroit Industrial Market Report 1Q21