Raleigh Office Rent Price & Sales Report

2021 Office Space Rent & Sales

  • $29.23 2021 Avg. Asking Rent
  • 2.08% Y-o-Y Avg. Asking Rent Change
  • 13.07% 2021 Office Vacancy Rate
  • $627.6M2021 Total Office Sales
  • $204.62Avg. Sale Price/SF

Raleigh office price per square foot in 2021 was $29.23 on average. This marked a +2.08% change in office space price per square foot compared to the previous year. The local office market recorded an average vacancy rate of 13.07% across all asset classes combined. The 35 transactions that closed here throughout 2021 amounted to a total sale volume of $627.6M. Raleigh office space commanded an average sale price per square foot of $204.62.

Average Rent by Office Class

2021 Average Office Rent per Square Foot

  • Raleigh Class A & A+ Office Space$32.00
  • Raleigh Class B Office Space$25.73
  • Raleigh Class C Office Space$22.29
  • North Carolina Class A & A+ Office Space$30.03
  • North Carolina Class B Office Space$23.99
  • North Carolina Class C Office Space$18.96

Raleigh, NC Office Asking Rents by Class

Average office rent in Raleigh rested at $29.23 per square foot in 2021. As would be expected, office rent price showed some variation from one asset class to another. As such, the asking rent for class A office space in Raleigh averaged $32.00 per square foot. Across all submarkets, class B office space recorded an average asking rent of $25.73 per square foot. Meanwhile, assets encompassing class C office space saw asking rents of $22.29 per square foot, on average. Comparably, statewide North Carolina average office rents by class in 2021 were: $30.03 per square foot for class A office space; $23.99 per square foot for class B office space; $18.96 per square foot for class C office space.

2021 Office Vacancy Rates in Raleigh

Submarket Asking Rents Vacancy Rates
Raleigh CBD $34.00 20.88%
West Raleigh $30.86 13.65%
Raleigh - Glenwood Ave $29.37 13.36%
Raleigh - Six Forks Road $26.02 8.51%
Raleigh - Capital Blvd $25.74 5.73%
Raleigh - Falls of Neuse $24.10 13.20%
Data provided by Commercial Edge
Submarket differences in factors such as property mix, degree of accessibility, and availability of amenities influence not only variation in office rent price, but also in vacancy rates. The overall office vacancy rate on the Raleigh market was 13.07% in 2021. Looking at the market stats on a more granular level, data shows that the lowest office vacancy rate in Raleigh was 5.73% in the Raleigh - Capital Blvd submarket, while the highest office vacancy in the market was 20.88%, recorded in Raleigh CBD.

Office Spaces for Rent in North Carolina

Raleigh Office Sale Price per SF

  • $204.622021 Avg. Price per SF
  • -20.98%Y-o-Y Avg. PpSF Change
  • $627.6M2021 Office Sales Volume
  • 352021 Number of Transactions

Raleigh, NC Sale Price per SF Trend

  • Raleigh Avg. Sale Price per SF in 2021$204.62
  • North Carolina Avg. Sale Price per SF in 2021$292.62
Raleigh office space cost in 2021 marked a -20.98% change compared to the previous year. The sale price for office space in Raleigh averaged $204.62 per square foot in 2021, across all market subdivisions and asset classes. Conversely, the statewide North Carolina average office sale price during the same time period was $292.62 per square foot.

2021 Office Sales Volume

  • Raleigh, NC Total Office Sales Volume in 2021 $627.6M
  • Raleigh, NC Total Number of Office Sales Closed in 2021 35
A total of 35 deals closed on the Raleigh office market in 2021, adding up to a yearly sales volume of $627.6M. Notably, the largest transaction on the market saw Raleigh Corporate Center change hands for $63,000,000 on 9/20/2021.

Largest Raleigh Office Sales in 2021

Property name Address Date Price
Raleigh Corporate Center 1100 Corporate Center Drive 9/20/2021 $63,000,000
Forum IV 8529 Six Forks Road 1/22/2021 $50,143,890
Palisades III 1501 Nowell Road 12/29/2021 $48,075,000
Forum I 8601 Six Forks Road 1/22/2021 $37,199,340
Forum V 8537 Six Forks Road 1/22/2021 $35,117,790
Data provided by Commercial Edge

Coworking Spaces in North Carolina

2021 Office Construction in Raleigh, NC

  • Raleigh, NC Total SF completed in 2021 715,508
  • Raleigh, NC Total SF under construction in 2022 633,697

During 2021, 715,508 square feet of new office space were delivered across the market. At the close of 2021, the Raleigh office inventory included 5 buildings equal to or larger than 25,000 square feet, which comprised 715,508 square feet of office space. Looking forward, development activity throughout 2022 is estimated to add 633,697 square feet of office space to the market, before year-end.

Largest Office Properties Recently Completed in Raleigh
Office building Address SF Completed
GlenLake Three 4300 Edwards Mill Road, 27612 218,000 2023
INQ @ 4300 4300 Fayetteville Road, 27603 180,072 2023
400 H 400 Hillsborough Street, 27603 166,000 2023
Raleigh Ironworks - Double Gable 2200 Atlantic Avenue, 27604 140,239 2023
Raleigh Ironworks - Phase 1B Bow Truss 1111 East Whitaker Mill Road, 27604 83,123 2023
Raleigh Crossing 301 Hillsborough Street, 27603 292,457 2022
Tower Two @ Bloc[83] 621 Hillsborough Street, 27603 271,320 2021
Smokey Hollow – 421 N. Harrington Street 421 North Harrington Street, 27603 225,000 2021
Palisades III 1501 Nowell Road, 27607 167,307 2021
Wade V 5438 Wade Park Boulevard, 27607 210,630 2020

Worth noting among recent office completions on the Raleigh market is GlenLake Three, which is currently the largest new office development in the city, at 218,000 square feet.

Data provided by Commercial Edge

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This market stats report is based on analysis of city-level data that includes office properties equal to or larger than 25,000 square feet in size. Averages were calculated based on values dated January 1st 2021 through December 31st 2021. Construction pipeline data represented herein is valid as of April 2022. The information on this page was compiled using data provided by CommercialEdge, a market intelligence solution which offers comprehensive real market knowledge on all Raleigh commercial properties sized 25,000 square feet or larger.

While every effort was made to ensure the accuracy of the data presented in this report, the information is provided “as is” and neither CommercialCafe nor CommercialEdge can guarantee that the information provided is complete.