SUMMARY
The Portland office market began showing signs of a slowdown in Q1 2020, even before COVID-19 entered the equation. The vacancy rate was 8.2% at the end of Q1 2020, which is the highest it’s been since Q4 2015. Leasing activity decreased significantly from an annual average of 1.4 M SF in 2019, to 8.25 K SF in Q1 2020. In the midst of a market showing signs of less demand and increased availability of current inventory, an additional 1 M SF of new office space is expected to deliver during 2020.