Avison Young releases Fourth Quarter 2022 Office Market Report for HoustonJanuary 5, 2023
Class A sector continues to outperformHouston, TX – Avison Young today released its Fourth Quarter 2022 Office Market Report for Houston. Houston’s metro economy continues to gain strength and has fully rebounded from the jarring job losses accumulated in the early months of the COVID-19 pandemic. Office-using jobs have remarkably grown by 5.6% with 40,500 new positions added over the trailing 12 months ending November 2022.
“The outlook for first-class assets remains positive,” said Wade Bowlin, Principal and Managing Director of the firm’s Houston office. “Companies will continue to lure employees back to the office by opting for a premium experience through quality buildings that offer superior amenities in highly desirable locations.”
Leasing activity has rebounded to 13.2 million square feet in 2022, up 7.1% year-over-year. Highly amenitized, class A product is driving the recovery in Houston’s office sector as class A leasing accounted for 69% of the annual volume of leases completed.
Principal and office tenant representation specialist, Anthony Squillante, added, “We are still seeing strong leasing velocity in well-located, amenity rich, class A assets. Further, concessions remain strong for tenants, so it is a great time to evaluate a lease renewal or relocation.”