JLL Q4 Office Outlook report: The office is more ‘back‘ than you think

The fourth quarter brought some relief from mounting macroeconomic challenges as inflationary pressures wane, but office tenants remain cautious as they adjust to rising costs of capital and falling valuations, according to JLL in its fourth quarter U.S. Office Outlook Report.

Leasing activity fell 10.8 percent in the fourth quarter to 40.7 million square feet. A strong start to the year nevertheless lifted 2022 volume 15.1 percent higher than 2021 totals, reflecting 72 percent of pre-pandemic leasing volume nationally. Net absorption was down 12.5 million square feet in fourth qua