Hampton Roads Office Market Report
The Hampton Roads office market experienced 14,721 SF of positive net absorption during the first quarter of 2026, ending the quarter at a 12.7% vacancy rate, a tightening of 10 basis points quarter-over-quarter. This positive net absorption was concentrated on the Southside, which saw 31,550 SF of positive net absorption during the quarter. The CBD and Peninsula counteracted this by seeing 14,069 SF of negative net absorption and 2,760 SF of negative net absorption, respectively. Rents have shown positive movement recently, ending the first quarter of 2026 at $23.33/SF, relatively flat quarter-over-quarter, however an increase of 2.3% year-over-year. Although there were no deliveries during the year, there are three properties, totaling 152,500 SF, under construction in the market. All three 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 to begin 2026, recording approximately 1.0 million SF of positive net absorption during the first quarter, tightening vacancy to 7.1%. This positive net absorption was spread throughout the market, highlighted by an undisclosed government contractor occupying 113,000 SF of space at 725 City Center Boulevard in Newport News. Rent growth continued, with average asking rents ending the first quarter of 2026 at $9.39/SF, a quarter-over-quarter growth of 1.0%. While well below the elevated gains seen from 2021–2023, rents remain 72.9% higher than 2020 levels, underscoring long-term pricing strength. Construction activity cooled during the first quarter of 2026 following a heavy delivery cycle during 2025. The market closed 2025 with 5.1 million SF of deliveries and saw only one delivery totaling 42,500 SF during the first quarter of 2026. There remain six properties totaling 2.5 million SF under construction.
Download Hampton Roads Industrial Market Report 1Q26