Even though the current US job market is strong, some traditional office tenants, like publishers, advertisers, and commercial banks are not. New space users, like high tech firms, are too small to fill the void in growth. We expect office construction will begin to subside in 2019. Between now and then, expect pockets of weakness. Increasing capital costs remains an on-going hurdle for successful investment in office assets.
See our full perspective in the US office sector Outlook 2018, Mid-year overview; the first of a series of sectoral overviews.