Separate leasing from net absorption

Separate gross leasing activity from net absorption under the report's definition. Identify renewals, expansions, contractions and relocations where the evidence allows. Record direct vacancy and sublease availability separately; offered sublease space may still be occupied. Check building class, location and observation date. An aggregate office statistic does not establish conditions for every building, especially when new construction attracts tenants away from older competing space.

Trace a headquarters relocation

Consider a fictional company announcing a regional headquarters. Trace the announcement to an executed commitment, expected delivery and occupancy evidence. Determine whether staff are new to the region or moving from an existing office. If a larger new lease replaces smaller local premises, account for the space being returned when evaluating regional demand. For a nearby housing proposal, investigate actual staffing and commuting behavior rather than converting leased floor area directly into apartment customers.

Distinguish commitment from daily use

Public announcements may omit expansion options, termination rights, phased occupancy or hybrid-work arrangements. Confidential lease economics can also prevent a reliable effective-rent comparison. Preserve those unknowns and distinguish a tenant commitment from evidence of daily use. Continue with the employment evidence guide to test whether the office story supports household demand, and with the supply-register guide to track the buildings gaining and losing tenants.

Take the next step

Continue with the related guide

General information—not personalized legal, tax, investment, engineering or architectural advice.