Charlotte Office Figures Q1 2025

‒Occupancy gains started strong this quarter with 286k sq. ft. of positive net absorption recorded. This marks the first year-opening quarter with positive net absorption since Q1 2020.

‒Average asking rates rose to $35.12 per sq. ft. FSG with Class A asking rates also recording an increase in the first quarter. The Midtown submarket continued to command the highest rates in Charlotte, highlighting asset and location flight-to-quality as enduring trends.

‒Leasing activity started the year strong with 746,252 sq. ft. of volume transacted in Q1 2025. The majority of this quarter’s volume occurred in the SouthPark and I-77/Airport submarkets. Average deal size was 6,784 sq. ft.

‒Although the market continues to face challenges and overall investor uncertainty, investment sales activity remained steady with $25.3 million of overall volume recorded in Q1 2025.