{"id":44201,"date":"2025-06-23T07:26:53","date_gmt":"2025-06-23T04:26:53","guid":{"rendered":"https:\/\/www.commercialcafe.com\/blog\/?p=44201"},"modified":"2025-11-17T16:01:53","modified_gmt":"2025-11-17T13:01:53","slug":"national-office-report-june-2025","status":"publish","type":"post","link":"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/","title":{"rendered":"Conversion Momentum Builds as Rising Vacancies Push Cities Toward Adaptive Reuse"},"content":{"rendered":"<div class=\"wpb-content-wrapper\">[vc_row][vc_column][vc_column_text css=&#8221;&#8221;]\n<h5><strong>Key Takeaways:<\/strong><\/h5>\n<div class=\"entry\">\n<ul>\n<li>The <strong>national office vacancy rate was 19.4% in May<\/strong>, up 160 basis points year-over-year, with occupancy unlikely to rise in near future<\/li>\n<li>The <strong>average U.S. office listing rate was $33.15 per square foot<\/strong> in May, increasing 4.8% year-over-year<\/li>\n<li>Office construction pipeline continued to shrink, with <strong>41.5 million square feet of office space currently under construction<\/strong><\/li>\n<li><strong>Los Angeles logged over $1 billion in office sales through May<\/strong>, though average sale prices declined more than 30% from 2022<\/li>\n<li><strong>Austin recorded the second-highest vacancy rate in the nation at 26.7%<\/strong> in May while leading the South in office development with 2.7 million square feet underway<\/li>\n<li><strong>Chicago<\/strong> remained the top investment market in the Midwest, with <strong>$794 million in office sales year-to-date<\/strong>, despite having the lowest average sale price among major U.S. markets ($59 per square foot)<\/li>\n<\/ul>\n<\/div>\n<h3>Trends &amp; Industry News<\/h3>\n<h2>Cities Push for Office Conversions<\/h2>\n<p>Record office vacancies are creating opportunities for building owners to repurpose vacant spaces and for cities to combat housing shortages.<\/p>\n<p>The national vacancy rate remained high in May at 19.4%, a 160-basis point increase over the last year, according to our U.S. office market report. Currently, over 149 million square feet of office space is proposed for conversion, 125 million of which have been proposed since the start of 2022. Conversions proposals have grown every year this decade and 2024 saw 48 million square feet proposed.<\/p>\n<p>Yet there is no \u201cone size fits all\u201d solution for converting a vacant office, with methods varying based on market conditions and project specifics. Yardi\u2019s revamped Conversion Feasibility Index (CFI) scores buildings across a variety of factors, with a Tier I building being a top candidate for conversion and Tier II possessing strong potential but possibly requiring some modifications or adjustments.<\/p>\n<p>Manhattan has one of the highest office occupancy rates in the nation, but its dense nature guarantees it won\u2019t be long before vacant spaces will be eyed for other uses. Currently, 23 million square feet of office space in the city is proposed for conversion. According to the the CFI, 19.5% of <a href=\"https:\/\/www.commercialcafe.com\/office\/us\/ny\/manhattan\/\" target=\"_blank\" rel=\"noopener\">Manhattan\u2019s office space stock<\/a> is a Tier I candidate for conversion while 34.6% is Tier II. To expedite conversions, the city established the Office Conversion Accelerator program, which provides a single point of contact with the city government to assist owners with zoning and permitting. A GFP Real Estate property at 222 Broadway, originally built in 1961, started construction last month to convert 770,416 square feet of office space into 798 apartments and commercial space, anticipated to complete by May 2027.<\/p>\n<blockquote><p>\u201cWith the destruction of office values being realized, it now is up to cities to incentivize conversions to maximize potential, or at the very least, reduce the red tape and regulations that make an already difficult project even harder.\u201d<\/p>\n<p>Peter Kolaczynski, Director, Yardi Research<\/p><\/blockquote>\n<p><a href=\"https:\/\/www.commercialcafe.com\/office\/us\/ca\/san-francisco\/\" target=\"_blank\" rel=\"noopener\">San Francisco office space<\/a> has one of the nation\u2019s highest vacancy rates at 28.4% and office attendance averaging 43%, according to Kastle\u2019s Back to Work Barometer. It is also one of the top markets in Yardi\u2019s CFI with 9.2% of space rated as Tier I and 25.1% as Tier II. Despite these factors, there are currently only 1 million square feet of proposed conversions on the market.<\/p>\n<p>San Francisco is looking to increase this number with its Commercial to Residential Adaptive Reuse Program, which includes tax waivers and fee removals. The city recently approved creating a downtown revitalization financing district, which will incentivize conversions by reinvesting the increase in property tax revenue to offset development costs. The New Humboldt Residences, a property located at 785 Market Street, is currently in the process of being converted into 120 units of housing.<\/p>\n<h3>Listing Rates and Vacancy<\/h3>\n<h2>Northern California\u2019s Struggles Increase<\/h2>\n<p>The national average full-service equivalent listing rate was $33.15 per square foot in May, down 19 cents over the previous month but up 4.8% year-over-year.<\/p>\n<h4>Top Listings by Metro Area: May 2025<\/h4>\n<div id=\"datawrapper-vis-IKEZO\" style=\"min-height: 472px;\"><script type=\"text\/javascript\" defer=\"\" src=\"https:\/\/datawrapper.dwcdn.net\/IKEZO\/embed.js\" charset=\"utf-8\" data-target=\"#datawrapper-vis-IKEZO\"><\/script><noscript><img decoding=\"async\" src=\"https:\/\/datawrapper.dwcdn.net\/IKEZO\/full.png\" alt=\"\"><\/noscript><\/div>\n<div style=\"height: 32px;\"><\/div>\n<p>The national office vacancy rate was 19.4%, down 30 basis points from the previous month, but up 160 basis points year-over-year. Rates are unlikely to decrease anytime soon, with office utilization rates plateauing and weak job growth in office-using employment.<\/p>\n<p>Despite some high-profile lease signings and speculation that a burgeoning AI sector would drive a recovery in the region\u2019s office sector, Northern California is still struggling with high office vacancies. San Francisco has seen its vacancy rate increase 330 basis points in the last 12 months, sitting at 28.4% in May, while the Bay Area\u2019s 25% rate marks an increase of 510 basis points over the last year.<\/p>\n<h3>Supply<\/h3>\n<h2>Boston\u2019s Life Science Sector Weakens<\/h2>\n<p>Nationally, 41.5 million square feet of office space was under construction as of May, according to our U.S. office market report, representing 0.6% of the stock.<\/p>\n<p>The office supply pipeline\u2019s contraction continued in 2025, as the 11.3 million square feet of completions during the first five months of the year far exceed the 4.2 million square feet that has broken ground.<\/p>\n<h4>Office Space Under Construction (Million Sq. Ft.)<\/h4>\n<div id=\"datawrapper-vis-Zu4sY\" style=\"min-height: 624px;\"><script type=\"text\/javascript\" defer=\"\" src=\"https:\/\/datawrapper.dwcdn.net\/Zu4sY\/embed.js\" charset=\"utf-8\" data-target=\"#datawrapper-vis-Zu4sY\"><\/script><noscript><img decoding=\"async\" src=\"https:\/\/datawrapper.dwcdn.net\/Zu4sY\/full.png\" alt=\"\"><\/noscript><\/div>\n<div style=\"height: 32px;\"><\/div>\n<p>Boston has had the nation\u2019s largest office supply pipeline by square footage in recent years, driven by the life science sector. Nearly three-quarters of the market\u2019s pipeline are life science properties, as Boston continues to build out proprieties that began the development process during the life science boom after the pandemic.<\/p>\n<p>However, in 2025, things are much shakier for the sector. Private capital funding for life science firms has undergone a pullback in recent years, and cuts to NIH funding will likely reduce lab space demand from the market\u2019s universities. Only one <a href=\"https:\/\/www.commercialcafe.com\/office\/us\/ma\/boston\/\" target=\"_blank\" rel=\"noopener\">Boston office property<\/a>, the 350,000-square-foot third phase of Innovation Square, has broken ground in the market in the last twelve months.<\/p>\n<h3>Transactions<\/h3>\n<h2>Price Declines in Los Angeles<\/h2>\n<p>Across the U.S., a total of $19.6 billion in office sales was recorded through May, with properties trading at an average of $194 per foot.<\/p>\n<h4>2025 Year-To-Date Sales (Million)<\/h4>\n<div id=\"datawrapper-vis-sPP4Y\" style=\"min-height: 648px;\"><script type=\"text\/javascript\" defer=\"\" src=\"https:\/\/datawrapper.dwcdn.net\/sPP4Y\/embed.js\" charset=\"utf-8\" data-target=\"#datawrapper-vis-sPP4Y\"><\/script><noscript><img decoding=\"async\" src=\"https:\/\/datawrapper.dwcdn.net\/sPP4Y\/full.png\" alt=\"\"><\/noscript><\/div>\n<div style=\"height: 32px;\"><\/div>\n<p>Los Angeles office property sales have totaled over $1 billion, but the average sale price in the market is down more than 30% from 2022. Fenway Capital Advisors paid $130 million for The Entrada in Culver City, about $400 per square foot for the 11-story building. While the sale marks the highest sale price in the market through May, it is still less than the $142 million loan that a joint venture between Lincoln Property Company and Broad Street Principal Investors took to develop the property.<\/p>\n<h3>Western Markets<\/h3>\n<h2>SoCal Markets Lead the Region in Office Development<\/h2>\n<p>Western markets continued to see high office vacancy rates throughout May, with most of them remaining above the national average of 19.4%. The Bay Area recorded the fourth-highest vacancy rate in the nation at 25%, following a sharp 500-basis-point increase year-over-year. Similarly, Portland witnessed a 490-basis-point rise in vacancy from a year ago to a 21.4% rate.<\/p>\n<p>Office asking rents also remained elevated across Western markets in May, with most continuing to outpace the national average of $33.15 per square foot. San Francisco led the region in rent growth, posting a 3.7% year-over-year increase that pushed the average asking rate to $63.01 per square foot\u2014 the second-highest in the nation. Meanwhile, more affordable markets like Portland, Phoenix and Denver stood below the national benchmark. Notably, <a href=\"https:\/\/www.commercialcafe.com\/office\/us\/or\/portland\/\" target=\"_blank\" rel=\"noopener\">Portland office spaces<\/a> recorded some of the lowest average asking rents among major U.S. markets, at $28.45 per square foot, despite a 3.5% annual increase.<\/p>\n<h4>West Regional Highlights<\/h4>\n<div id=\"datawrapper-vis-HmA9K\" style=\"min-height: 487px;\"><script type=\"text\/javascript\" defer=\"\" src=\"https:\/\/datawrapper.dwcdn.net\/HmA9K\/embed.js\" charset=\"utf-8\" data-target=\"#datawrapper-vis-HmA9K\"><\/script><noscript><img decoding=\"async\" src=\"https:\/\/datawrapper.dwcdn.net\/HmA9K\/full.png\" alt=\"\"><\/noscript><\/div>\n<div style=\"height: 32px;\"><\/div>\n<p>In May, the Bay Area surpassed San Francisco to become the priciest office market in the West, with assets trading at $356 per square foot\u2014second only to Manhattan on a national level. The Bay Area also stood out by totaling over $2 billion in office sales, ranking third nationally in year-to-date sales volume. Los Angeles maintained its position as one of the most expensive markets in the U.S., with office space trading for an average of $281 per square foot. The market also recorded more than $1 billion in sales year-to-date. At the opposite end, Seattle continued to lag behind, with office assets trading at just $124 per square foot\u2014well below the national average of $194\u2014and logging one of the smallest sales volumes in the U.S. at only $158 million year-to-date.<\/p>\n<p>Office construction in Western markets remained heavily concentrated across SoCal, with <a href=\"https:\/\/www.commercialcafe.com\/office\/us\/ca\/san-diego\/\" target=\"_blank\" rel=\"noopener\">San Diego<\/a> and Los Angeles leading the region with over 2.1 million square feet underway each. While San Francisco had previously ranked as the national runner-up for office development activity, it was overtaken in May by both SoCal hubs and two major Texas markets, Dallas\u2013Fort Worth and Austin. Still, San Francisco kept one of the highest combined shares of office space under construction and planned, at 5.1% of total stock\u2014highlighting sustained long-term interest.<\/p>\n<h3>Midwestern Markets<\/h3>\n<h2>Investment Activity Picks Up in Chicago<\/h2>\n<p>Midwestern markets continued to rank among the nation\u2019s most affordable for office investment in May. While office space in Chicago traded at just $59 per square foot, the lowest sale price among top U.S. markets, the market recorded $794 million in total sales\u2014tripling its volume from the same period last year. The Twin Cities followed a similar trend, with assets selling at a modest $66 per square foot while recording over $221 million in year-to-date sales, up from $188 million a year prior.<\/p>\n<p>The Twin Cities stood out as the region\u2019s most stable market in May, being the only one with a vacancy rate below the national level, at 17.2%, following a 100-basis-point increase year-over-year. Meanwhile, Detroit continued to be the most challenged office market in the Midwest, posting a 25% vacancy rate, the fifth-highest nationwide.<\/p>\n<h4>Midwest Regional Highlights<\/h4>\n<div id=\"datawrapper-vis-wzy8f\" style=\"min-height: 295px;\"><script type=\"text\/javascript\" defer=\"\" src=\"https:\/\/datawrapper.dwcdn.net\/wzy8f\/embed.js\" charset=\"utf-8\" data-target=\"#datawrapper-vis-wzy8f\"><\/script><noscript><img decoding=\"async\" src=\"https:\/\/datawrapper.dwcdn.net\/wzy8f\/full.png\" alt=\"\"><\/noscript><\/div>\n<div style=\"height: 32px;\"><\/div>\n<p>Midwestern office markets remained the most affordable nationwide in May, with average asking rents well below the national average of $33.15 per square foot. <a href=\"https:\/\/www.commercialcafe.com\/office\/us\/mi\/detroit\/\" target=\"_blank\" rel=\"noopener\">Detroit office space<\/a> ranked as the least expensive among major markets, with rents at $21.60 per square foot. Chicago maintained a relatively flat rate year-over-year at $27.88 per square foot.<\/p>\n<p>Office development remained limited across Midwestern markets in May, highlighting the region\u2019s trend of slow-paced construction activity. Chicago led the Midwest with 792,000 square feet underway, though that figure marked a decline from over 1 million square feet in progress the previous year. The Twin Cities saw a modest uptick in development activity, reaching 595,000 square feet of office space under construction. Meanwhile, Detroit\u2019s pipeline remained largely unchanged from last year, further underscoring the region\u2019s overall restrained approach to new office supply.<\/p>\n<h3>Southern Markets<\/h3>\n<h2>Austin Sees Strong Construction Activity Amid Elevated Vacancy Rates<\/h2>\n<p>Office rents across Southern markets showed varied trends in May, with the majority falling below the national average. Florida markets like <a href=\"https:\/\/www.commercialcafe.com\/office\/us\/fl\/orlando\/\" target=\"_blank\" rel=\"noopener\">Orlando<\/a> and Tampa remained among the most affordable nationwide, posting asking rents of $28.03 and $29.50 per square foot, respectively. On the higher end, Miami continued to be the South\u2019s priciest office market and the third-most expensive in the country, with average rents reaching $57.71 per square foot. Meanwhile, Houston experienced downward pressure on pricing, with rents declining 3.5% year-over-year to $28.53 per square foot.<\/p>\n<p>Austin slipped to third place regionally in May in office sale prices, with assets trading at $221 per square foot. Washington, D.C., edged ahead with $223 per square foot, while Miami continued to lead the region with $231 per square foot. These markets were the only ones in the South with rates above the national average of $194 per square foot. Washington, D.C., stood out with the highest sales volume in the region and second-highest nationwide, logging $2.6 billion year-to-date. Houston was next in the region with $1.20 billion. However, despite its strong investment activity, Houston remained one of the most affordable office markets in the country, with assets trading at just $117 per square foot and showing minimal price appreciation compared to a year ago.<\/p>\n<h4>South Regional Highlights<\/h4>\n<div id=\"datawrapper-vis-RMDTT\" style=\"min-height: 505px;\"><script type=\"text\/javascript\" defer=\"\" src=\"https:\/\/datawrapper.dwcdn.net\/RMDTT\/embed.js\" charset=\"utf-8\" data-target=\"#datawrapper-vis-RMDTT\"><\/script><noscript><img decoding=\"async\" src=\"https:\/\/datawrapper.dwcdn.net\/RMDTT\/full.png\" alt=\"\"><\/noscript><\/div>\n<div style=\"height: 32px;\"><\/div>\n<p>Southern markets reported stark contrasts in development activity during May. Texas hubs continued to dominate the national development landscape, with Dallas\u2013Fort Worth (3.2 million square feet) and Austin (2.7 million) posting the largest pipelines nationwide, behind only Boston. In contrast, other Southern markets saw slower activity. Orlando\u2019s pipeline held steady year-over-year at 375,000 square feet, while Tampa experienced one of the steepest declines nationally, with its active pipeline shrinking to just over 300,000 square feet\u2014roughly a third of what it was in May 2024.<\/p>\n<p>Southern markets continued to follow mixed trends in May, with some surpassing the national office vacancy rate of 19.4%, while others remained well below it. Tampa continued to see high occupancy levels, finishing the month with a 16.5% vacancy rate despite a 340-basis-point year-over-year increase. At the other end of the spectrum, <a href=\"https:\/\/www.commercialcafe.com\/office\/us\/tx\/austin\/\" target=\"_blank\" rel=\"noopener\">Austin office properties<\/a> recorded the second-highest vacancy rate in the nation at 26.7% after a 340-basis-point annual increase. Dallas\u2013Fort Worth (23.5%), Houston (21.7%), and Atlanta (19.9%) also exceeded the national average, rounding out the list of Southern markets with rising vacancies.<\/p>\n<h3>Northeastern Markets<\/h3>\n<h2>Philadelphia Remains Among Most Affordable Office Markets Nationwide<\/h2>\n<p>Boston continued to dominate the nation in office construction during May, with nearly 6 million square feet underway, equal to 2.3% of its total stock. Manhattan also maintained a sizable pipeline of 1.6 million square feet despite a year-over-year contraction of over 1 million square feet. New Jersey followed a similar trajectory, recording a sharp slowdown in development compared to last year, going from 2 million square feet to only 810,000 square feet of office space underway.<\/p>\n<p>All Northeastern markets posted vacancy rates below the national average of 19.4% during May. Philadelphia came closest to the national benchmark with a 19.2% vacancy rate following a 390-basis-point increase year-over-year. In contrast, New Jersey showed greater stability, logging one of the region\u2019s smallest increases\u2014just 140 basis points\u2014bringing its vacancy rate to 18.6%.<\/p>\n<h4>Northeast Regional Highlights<\/h4>\n<div id=\"datawrapper-vis-gIdQZ\" style=\"min-height: 332px;\"><script type=\"text\/javascript\" defer=\"\" src=\"https:\/\/datawrapper.dwcdn.net\/gIdQZ\/embed.js\" charset=\"utf-8\" data-target=\"#datawrapper-vis-gIdQZ\"><\/script><noscript><img decoding=\"async\" src=\"https:\/\/datawrapper.dwcdn.net\/gIdQZ\/full.png\" alt=\"\"><\/noscript><\/div>\n<div style=\"height: 32px;\"><\/div>\n<p>During May, Manhattan retained its position as the nation\u2019s most expensive office market, with asking rents averaging $68.08 per square foot\u2014despite a 4.5% annual decline. Boston and New Jersey also experienced softening asking rents, with year-over-year decreases of 1.4% and 2.4%, respectively. Meanwhile, <a href=\"https:\/\/www.commercialcafe.com\/office\/us\/pa\/philadelphia\/\" target=\"_blank\" rel=\"noopener\">Philadelphia office space<\/a> was still among the most affordable in the U.S., with asking rents at $31.17 per square foot, staying flat year-over-year.<\/p>\n<p>Philadelphia also recorded the region\u2019s lowest average sale price at just $100 per square foot, alongside the smallest year-to-date office sales volume of $154 million. Conversely, Manhattan and Boston upheld their positions as the region\u2019s top-performing office markets. Both cities saw average sale prices exceed the national benchmark of $194 per square foot, with assets trading at an average of $448 per square foot in Manhattan and $237 per square foot in Boston. Manhattan continued to be the nation\u2019s top office investment hub, logging $2.8 billion in sales year-to-date\u2014marking a dramatic rise from just $570 million during the same period last year.<\/p>\n<h3>Office-Using Employment<\/h3>\n<h2>Charlotte Outpaces the Pack<\/h2>\n<p>Office-using sectors of the labor market decreased by 3,000 jobs in May, with the losses concentrated in the Professional and Business Services sector, which shed 18,000 workers in the month. The gains in Financial Activities, which added 13,000 jobs and Information (2,000 jobs), were not enough to offset the losses. On an annual basis, office-using sectors have grown by just 1,000 jobs over the last twelve months.<\/p>\n<h4>Office Using Employment<\/h4>\n<div id=\"datawrapper-vis-A27yS\" style=\"min-height: 876px;\"><script type=\"text\/javascript\" defer=\"\" src=\"https:\/\/datawrapper.dwcdn.net\/A27yS\/embed.js\" charset=\"utf-8\" data-target=\"#datawrapper-vis-A27yS\"><\/script><noscript><img decoding=\"async\" src=\"https:\/\/datawrapper.dwcdn.net\/A27yS\/full.png\" alt=\"\"><\/noscript><\/div>\n<div style=\"height: 32px;\"><\/div>\n<p>Charlotte has been one of the nation\u2019s few bright spots for office employment. Among the 25 largest office markets, Charlotte has claimed the top spot for office job growth every month so far this year. In April, metro-level employment data\u2014which trails the national release\u2014showed Charlotte with a year-over-year growth rate of 3.2%, more than twice that of any other top market. Charlotte has been a hot spot for corporate relocations in recent years, leading to office job growth at a time when many other markets are experiencing declines.<\/p>\n<p><strong>Methodology\u00a0<\/strong><\/p>\n<p>This report covers office buildings 25,000 square feet and above.<\/p>\n<p>CommercialCafe collects listing rate and occupancy data using Yardi Commercial data.<\/p>\n<p>Listing Rates \u2014 Listing Rates are full-service rates or \u201cfull-service equivalent\u201d for spaces that were available as of the report period.<\/p>\n<p>Vacancy \u2014 The total square feet vacant in a market, including subleases, divided by the total square feet of office space in that market. Owner-occupied buildings are not included in vacancy calculations.<\/p>\n<p>A and A+\/Trophy buildings have been combined for reporting purposes.<\/p>\n<p>Stage of the supply pipeline:<\/p>\n<p>Planned \u2014 Buildings that are currently in the process of acquiring zoning approval and permits but have not yet begun construction.<\/p>\n<p>Under Construction \u2014 Buildings for which construction and excavation has begun.<\/p>\n<p>Office-Using Employment is defined by the Bureau of Labor Statistics as including the sectors Information, Financial Activities, and Professional and Business Services. Employment numbers are representative of the Metropolitan Statistical Area and do not necessarily align exactly with CommercialCafe market boundaries.<\/p>\n<p>Sales volume\u00a0and\u00a0price-per-square-foot\u00a0calculations for portfolio transactions or those with unpublished dollar values are estimated using sales comps based on similar sales in the market and submarket, use type, location and asset ratings, sale date and property size.<\/p>\n<p>Market boundaries in the CommercialCafe office report coincide with the ones defined by the CommercialCafe Markets Map and may differ from regional boundaries defined by other sources.<\/p>\n<p><strong>Fair Use and Redistribution<\/strong><\/p>\n<p>We encourage you and freely grant you permission to reuse, host, or repost the research, graphics, and images presented in this article. When doing so, we ask that you credit our research by linking to CommercialCafe.com or this page so that your readers can learn more about this project, the research behind it and its methodology. For more in-depth, customized data, please contact us at prinfo@commercialcafe.com.[\/vc_column_text][\/vc_column][\/vc_row]\n<\/div>","protected":false},"excerpt":{"rendered":"<p>Record office vacancies are creating opportunities for building owners to repurpose vacant spaces and for cities to combat housing shortages.<\/p>\n","protected":false},"author":2470,"featured_media":43062,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"_wpas_customize_per_network":false},"categories":[42,4014,39],"tags":[],"class_list":["post-44201","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-market-reports","category-featured","category-office","wpautop"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v23.4 (Yoast SEO v24.6) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>U.S. Office Rents Report June 2025 | CommercialCafe<\/title>\n<meta name=\"description\" content=\"Record office vacancies are creating opportunities for building owners to repurpose vacant spaces and for cities to combat housing shortages.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Conversion Momentum Builds as Rising Vacancies Push Cities Toward Adaptive Reuse\" \/>\n<meta property=\"og:description\" content=\"Record office vacancies are creating opportunities for building owners to repurpose vacant spaces and for cities to combat housing shortages.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/\" \/>\n<meta property=\"og:site_name\" content=\"CommercialCafe\" \/>\n<meta property=\"article:published_time\" content=\"2025-06-23T04:26:53+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-11-17T13:01:53+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.commercialcafe.com\/blog\/wp-content\/uploads\/sites\/10\/2025\/05\/Office-Report-2.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1980\" \/>\n\t<meta property=\"og:image:height\" content=\"1280\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Laura Pop-Badiu\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Laura Pop-Badiu\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"13 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/\",\"url\":\"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/\",\"name\":\"U.S. Office Rents Report June 2025 | CommercialCafe\",\"isPartOf\":{\"@id\":\"https:\/\/www.commercialcafe.com\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.commercialcafe.com\/blog\/wp-content\/uploads\/sites\/10\/2025\/05\/Office-Report-2.jpg\",\"datePublished\":\"2025-06-23T04:26:53+00:00\",\"dateModified\":\"2025-11-17T13:01:53+00:00\",\"author\":{\"@id\":\"https:\/\/www.commercialcafe.com\/blog\/#\/schema\/person\/6cc5bc4fb23b6df923cc7775cbebf516\"},\"description\":\"Record office vacancies are creating opportunities for building owners to repurpose vacant spaces and for cities to combat housing shortages.\",\"breadcrumb\":{\"@id\":\"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/#primaryimage\",\"url\":\"https:\/\/www.commercialcafe.com\/blog\/wp-content\/uploads\/sites\/10\/2025\/05\/Office-Report-2.jpg\",\"contentUrl\":\"https:\/\/www.commercialcafe.com\/blog\/wp-content\/uploads\/sites\/10\/2025\/05\/Office-Report-2.jpg\",\"width\":1980,\"height\":1280},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.commercialcafe.com\/blog\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Conversion Momentum Builds as Rising Vacancies Push Cities Toward Adaptive Reuse\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.commercialcafe.com\/blog\/#website\",\"url\":\"https:\/\/www.commercialcafe.com\/blog\/\",\"name\":\"CommercialCafe\",\"description\":\"Your Commercial Real Estate Blog\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.commercialcafe.com\/blog\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.commercialcafe.com\/blog\/#\/schema\/person\/6cc5bc4fb23b6df923cc7775cbebf516\",\"name\":\"Laura Pop-Badiu\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.commercialcafe.com\/blog\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/47efcded632062e8fda044a0f92be51b61084d74c1c81c6c35e64103405b85d1?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/47efcded632062e8fda044a0f92be51b61084d74c1c81c6c35e64103405b85d1?s=96&d=mm&r=g\",\"caption\":\"Laura Pop-Badiu\"},\"description\":\"Laura Pop-Badiu is a Senior Creative Writer at PropertyShark, with a degree in Journalism and a background in both hospitality and real estate. Laura is a certified bookworm with a genuine passion for the written word and a keen interest in the real estate market, having previously written for Yardi's RentCafe, CoworkingCafe and CoworkingMag. Her work has been featured in major publications like The New York Times, Forbes, NBC News, The Business Journals, Chicago Tribune, MSN and Yahoo! Finance, among others.\",\"sameAs\":[\"laurapop\"],\"url\":\"https:\/\/www.commercialcafe.com\/blog\/author\/laurapop\/\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"U.S. Office Rents Report June 2025 | CommercialCafe","description":"Record office vacancies are creating opportunities for building owners to repurpose vacant spaces and for cities to combat housing shortages.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/","og_locale":"en_US","og_type":"article","og_title":"Conversion Momentum Builds as Rising Vacancies Push Cities Toward Adaptive Reuse","og_description":"Record office vacancies are creating opportunities for building owners to repurpose vacant spaces and for cities to combat housing shortages.","og_url":"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/","og_site_name":"CommercialCafe","article_published_time":"2025-06-23T04:26:53+00:00","article_modified_time":"2025-11-17T13:01:53+00:00","og_image":[{"width":1980,"height":1280,"url":"https:\/\/www.commercialcafe.com\/blog\/wp-content\/uploads\/sites\/10\/2025\/05\/Office-Report-2.jpg","type":"image\/jpeg"}],"author":"Laura Pop-Badiu","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Laura Pop-Badiu","Est. reading time":"13 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/","url":"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/","name":"U.S. Office Rents Report June 2025 | CommercialCafe","isPartOf":{"@id":"https:\/\/www.commercialcafe.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/#primaryimage"},"image":{"@id":"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/#primaryimage"},"thumbnailUrl":"https:\/\/www.commercialcafe.com\/blog\/wp-content\/uploads\/sites\/10\/2025\/05\/Office-Report-2.jpg","datePublished":"2025-06-23T04:26:53+00:00","dateModified":"2025-11-17T13:01:53+00:00","author":{"@id":"https:\/\/www.commercialcafe.com\/blog\/#\/schema\/person\/6cc5bc4fb23b6df923cc7775cbebf516"},"description":"Record office vacancies are creating opportunities for building owners to repurpose vacant spaces and for cities to combat housing shortages.","breadcrumb":{"@id":"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/#primaryimage","url":"https:\/\/www.commercialcafe.com\/blog\/wp-content\/uploads\/sites\/10\/2025\/05\/Office-Report-2.jpg","contentUrl":"https:\/\/www.commercialcafe.com\/blog\/wp-content\/uploads\/sites\/10\/2025\/05\/Office-Report-2.jpg","width":1980,"height":1280},{"@type":"BreadcrumbList","@id":"https:\/\/www.commercialcafe.com\/blog\/national-office-report-june-2025\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.commercialcafe.com\/blog\/"},{"@type":"ListItem","position":2,"name":"Conversion Momentum Builds as Rising Vacancies Push Cities Toward Adaptive Reuse"}]},{"@type":"WebSite","@id":"https:\/\/www.commercialcafe.com\/blog\/#website","url":"https:\/\/www.commercialcafe.com\/blog\/","name":"CommercialCafe","description":"Your Commercial Real Estate Blog","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.commercialcafe.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.commercialcafe.com\/blog\/#\/schema\/person\/6cc5bc4fb23b6df923cc7775cbebf516","name":"Laura Pop-Badiu","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.commercialcafe.com\/blog\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/47efcded632062e8fda044a0f92be51b61084d74c1c81c6c35e64103405b85d1?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/47efcded632062e8fda044a0f92be51b61084d74c1c81c6c35e64103405b85d1?s=96&d=mm&r=g","caption":"Laura Pop-Badiu"},"description":"Laura Pop-Badiu is a Senior Creative Writer at PropertyShark, with a degree in Journalism and a background in both hospitality and real estate. Laura is a certified bookworm with a genuine passion for the written word and a keen interest in the real estate market, having previously written for Yardi's RentCafe, CoworkingCafe and CoworkingMag. Her work has been featured in major publications like The New York Times, Forbes, NBC News, The Business Journals, Chicago Tribune, MSN and Yahoo! Finance, among others.","sameAs":["laurapop"],"url":"https:\/\/www.commercialcafe.com\/blog\/author\/laurapop\/"}]}},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/www.commercialcafe.com\/blog\/wp-content\/uploads\/sites\/10\/2025\/05\/Office-Report-2.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.commercialcafe.com\/blog\/wp-json\/wp\/v2\/posts\/44201","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.commercialcafe.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.commercialcafe.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.commercialcafe.com\/blog\/wp-json\/wp\/v2\/users\/2470"}],"replies":[{"embeddable":true,"href":"https:\/\/www.commercialcafe.com\/blog\/wp-json\/wp\/v2\/comments?post=44201"}],"version-history":[{"count":5,"href":"https:\/\/www.commercialcafe.com\/blog\/wp-json\/wp\/v2\/posts\/44201\/revisions"}],"predecessor-version":[{"id":45931,"href":"https:\/\/www.commercialcafe.com\/blog\/wp-json\/wp\/v2\/posts\/44201\/revisions\/45931"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.commercialcafe.com\/blog\/wp-json\/wp\/v2\/media\/43062"}],"wp:attachment":[{"href":"https:\/\/www.commercialcafe.com\/blog\/wp-json\/wp\/v2\/media?parent=44201"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.commercialcafe.com\/blog\/wp-json\/wp\/v2\/categories?post=44201"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.commercialcafe.com\/blog\/wp-json\/wp\/v2\/tags?post=44201"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}