US office investment outlook - H1 2018
As of the second quarter, average direct rents grew at an annualized pace of 2.3 percent. CBD Class A rents are likely at an inflection point, with no growth over the past three quarters and faster-rising concession packages. At the same time, vacancy rose by 10.0 basis points to 14.9 percent on the back of rising deliveries.
Completions will spike during the next few quarters, then mark a notable slowdown through 2021 and 2022. Further ground-breakings will be increasingly determined by tenant-specific activity, as opposed to being delivered on spec.