Q3 Market Report Highlights the Latest CRE Trends in Boston, Cambridge, and Suburban Segments
Cautious optimism runs beneath a market still grappling with changing dynamics
November 5, 2024 - Boston’s premier occupier-first commercial real estate firm, Cresa, announced today the release of its Q3 Market Reports, which provide a first-hand look at the trends and opportunities in the region’s commercial real estate market. Known for its expert advice and real estate services for industries ranging from life sciences to manufacturing to professional services across Massachusetts and southern New Hampshire, Cresa’s latest reports show some stability returning while continuing to track high vacancy rates in certain environs.
The quarterly report reflects the vast in-house expertise of Cresa’s tenant-focused advisors and research associates, and provides insight into the current state of the market as well as a road map for where the commercial real estate sector will go in the coming months. Earlier this year, Cresa introduced a new report focused on the industrial market as its relevance has increased in Massachusetts. Key highlights from the Q3 release include the following findings:
- Industrial/Flex space enjoys continued strength, thanks in part to rents that have proven more resilient in the face of economic forces.
- Suburban office faces ongoing high vacancy rates, but tenants can discover new opportunities as leases expire and they “right-size” into smaller, pre-built spec spaces.
- Declining Class A rent rates and generous concessions packages make it prime time to find a state-of-the-art homebase in the Downtown Boston market.
- Kendall Square’s (Cambridge office) star continues to dim as tenants find new opportunities to relocate downtown for favorable lease terms and upgraded facilities.
- The Life Sciences market continues to absorb the impact of supply outpacing demand and a parallel downturn in VC activity; still, there’s reason to believe the storm has passed.
“The opportunity for occupiers to find space that either offers a chance to upgrade their current facilities or realize efficiencies related to evolving requirements is tremendous right now,” said Paul Delaney, Managing Principal, Life Sciences, Cresa Boston. “While vacancy rates in certain segments continues to remain high, there’s clearly a light at the end of the tunnel emerging as more tenants seize the opportunity to better align their offices with their mission and the preferences of employees that are increasingly returning to the office.”
For insights into specific markets, please click the link to the individual reports; contact information is provided below to arrange for an interview with Cresa’s research personnel:
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To make arrangements for an interview or for more information, please contact:
Jeff Lavery, Principal
Pedigree Public Relations
[email protected]
508.361.7539