District of Columbia Office Market
| Average Asking Rent (Price/SF) | $56.63 |
| Vacancy Rate (%) | 17.4% |
| Net Absorption (SF) | -178,966 |
The District of Columbia’s office market softened modestly in the first quarter of 2022, exhibited by asking rent compression and net occupancy losses. The office market has improved from its position one year ago, but the momentum achieved in the fourth quarter of 2021 has slowed. Although quarterly occupancy was negative, inventory contraction resulted in a stabilized vacancy rate, measuring 17.4%. Leasing activity decelerated modestly in the quarter, particularly among the largest footprint tenants. Average asking rents fell in the first quarter to $56.63/SF. After holding steady for much of the pandemic, asking rents have begun to wear under the prolonged stress of the low-demand market.