Tag Archives: atlanta office space

Atlanta Office Space Market Overview

The most populous city in the state of Georgia, Atlanta originated as a railroad town in 1837, and has had a rich history ever since.  The city became a distributor of military supplies during the Civil War because of its railroad network.  This is the same reason that the capital was moved there in 1868, and is one of the reasons for its vital role during World War II.

In the 1960s, Atlanta became the major organizational center for the Civil Rights Movement.  It has since become one of the most multicultural cities in the U.S. due, in part, to the influx of new immigrants over the past ten years.

Atlanta is home to more than thirty colleges and universities.  The most prominent university being the Georgia Institute of Technology, with programs in engineering, computing, the sciences, and liberal arts.  Young, college-educated professionals have contributed to much of this decade’s demographic change in the city of Atlanta.

The increase in Atlanta’s diverse population has led to a unique cultural combination which is no longer strictly Southern.  Encompassing opera, ballet, music, and theater, Atlanta has become a national center for the arts.  This culture has contributed to making the city a hub for tourism – the seventh most visited city in the U.S.

Atlanta Economy

Atlanta’s economy is largely driven by corporate operations headquartered within the metropolitan area, making it the eighth largest economy in the nation.  The highly educated workforce in the city has drawn many Fortune 500 companies to headquarter here, including The Coca-Cola Company, AT&T Mobility, UPS, and Delta Airlines.

Atlanta Office Space

The majority of the metro Atlanta office space is located in Downtown Atlanta, with the second-largest concentration being in Midtown Atlanta.  Buckhead is the city’s uptown district, located north of Downtown, and the third-largest business district.  The current market conditions for these market areas is below.  For more information regarding office space in Atlanta, see also Atlanta Office Space sister site.

Sub-Market

Vacancy Rate

YTD Net Absorption

Avg. Rental Rate

Downtown

24%

119,927

$20.89

Midtown

21.9%

69,375

$24.76

Buckhead

18.4%

264,171

$25.52

Source: Atlanta Office Marketview, q3 2013; CBRE Global Research and Consulting