Global prime office rents remain robust despite economic headwinds, says CBRE

Despite economic headwinds including high inflation and rising materials costs, global office markets exhibited relative strength in second quarter 2022. Office take-up and prime rent increases occurred in several key markets across the three main global regions, reflecting recovering demand and improved leasing activity.

In the Americas, prime rents increased in 18 of the 33 main office markets over the year ending in second quarter of 2022, down from 25 markets that had seen annual growth in the first quarter 2022. The slowdown in rent growth was widespread throughout downtown and suburban markets in the United States, Canada and Latin America. In the United States., leasing activity has decreased for the past two quarters as concerns about the macro economy and office utilization rates caused some occupiers to delay decisions. Suburban Dallas and downtown Montreal had the biggest year-over-year declines in rental rates. São Paulo (+20 percent), Denver (+12.7 percent) and