Philadelphia office market reports

Q2 2025

21.3%

Total office availability down 90bps since Q2 ‘24

Across Greater Philadelphia, the total availability rate* for office space finished the second quarter at 21.3%, down 90 bps in the last twelve months. The share of available space listed for sublease continues to decrease. Total available space at the end of the second quarter measured 38.4 MSF, of which 6.2 MSF was for sublease, equating to 16.0% of the total available space.
1.57 MSF

Leasing volume up 3.7% QoQ

A total of 1.57 MSF was leased across Greater Philadelphia in Q2 ’25, marking a 3.7% increase from Q1 ’25 and coming just shy of the 5-year quarterly leasing average of 1.68 MSF. Tenants continue to shift away from older vintage properties in favor of more modern Trophy and Class A assets, with some opting to reduce their footprint in exchange for a higher-quality experience.
+30.7%

H1 ‘25 total investment sales volume vs. H1 ‘24

Total investment sales volume in the first half of 2025 reached $133 million—a 30.7% increase from the $102 million recorded during the same period in 2024. While this marks a positive sign for the market, investment sales continues to face an uphill climb with higher-than-expected capital costs, as interest rates have yet to see a meaningful decrease.

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Get in-depth office market reports and insights from commercial real estate experts in the Greater Philadelphia area. Avison Young advisors look at Philadelphia commercial real estate activities and the latest Philadelphia statistics to provide you expert market research on Philadelphia's office properties.

Explore different topics like the latest office market pricing trends and analysis of Philadelphia's current office real estate market conditions. Gain a better understanding of Philadelphia’s office real estate outlook and stay ahead of current office space trends. Make smart decisions when it comes to investing in office properties in Philadelphia's competitive office real estate market. Avison Young is your trusted source for commercial real estate office market insights in Philadelphia.

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