Hampton Roads Office Market Report
The Hampton Roads office market experienced 131,000 SF of positive net absorption during the fourth quarter of 2025, ending the quarter at a 12.8% vacancy rate, a tightening of 40 basis points quarter-over-quarter. This positive net absorption was highlighted by over 23,000 SF occupied by the Coast Guard Exchange at 510 Independence Parkway in October. Despite the positive fourth quarter, the market experienced almost 300,000 SF of negative net absorption during 2025, largely due to over 100,000 SF being vacated at Crossways I in Chesapeake. Rents showed positive movement during 2025, ending the year at $23.57/SF, relatively flat quarter-over-quarter, however an increase of 2.8% year-over-year. Although there were no deliveries during the year, there are four properties, totaling 185,000 SF, under construction in the market. All four developments are located in the city of Chesapeake, one of the main office hubs of the region.
Hampton Roads Industrial Market Report
The market saw positive momentum in 2025, recording approximately 1.6 million square feet of positive net absorption for the year, though this was outweighed by 5.2 million square feet of new deliveries, pushing vacancy up to 7.7%. Rent growth continued, though the pace moderated. Average asking rents measured $10.30/S during the fourth quarter of 2025, reflecting 3.2% year-over-year growth. While well below the elevated gains seen from 2021–2023, rents remain 38.1% higher than 2020 levels, underscoring long-term pricing strength. Construction activity cooled by year-end following a heavy delivery cycle. The market closed 2025 with 1.7 million square feet under construction, well below both the five-year (4.3 million square feet) and ten-year (3.1 million square feet) averages, signaling a pullback after an aggressive development phase.
Download Hampton Roads Industrial Market Report 4Q25