Lincoln Property Co. said today the Greater Boston office market may be nearing a recovery phase, as the volume of new sublease office space remained low during the last two consecutive quarters, according to its third quarter report.

During the third quarter, The Greater Boston office market’s net sublease space declined by 19,751 square feet, according to Lincoln’s Boston office. It added only 229,148 square feet of net sublease office space during the second quarter, after dumping 1.04 million square feet on the market in the first quarter.

Still, with unemployment on an upward trend, Lincoln warned the numbers could be a fluke.

"Even with a decline in the third quarter, the total supply of office sublease space remains 5.36 million square feet in the 156 million-square-foot Greater Boston market that our study covered," said Scott Faber, director of research at Lincoln. "Nevertheless, the good news is that we have started to see a decline in new sublease space coming on the market. With unemployment still on the rise across the country, the trend may be a fluke, but the sublease market does appear to be dwindling down."

Report: Boston Sublease Market Flattens, Overall Vacancies Troubling

by Banker & Tradesman time to read: 1 min
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