U.S. Office Vacancies Hit 15.2% — and Rising – WSJ.com

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U.S. Office Vacancies Hit 15.2% — and Rising – WSJ.com

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Struggling to cut costs in a raging recession, companies dumped a near-record 25 million square feet of office space in the first quarter, driving vacancy up and rents down, according to data to be released today by Reis Inc.

Businesses that needed to lease space took advantage of the market weakness to extract concessions out of landlords. But the trends exacerbated financial woes for owners, especially those who owe more on their mortgages than their properties are worth.

The office vacancy rate nationwide rose to 15.2% from 14.5% in the previous quarter, and likely will surpass 19.3% over the next three months

via U.S. Office Vacancies Hit 15.2% — and Rising – WSJ.com.

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