Office

 
A report from Jones Lang LaSalle (JJL), a leading commercial real estate and investment management firm, revealed that the U.S. office market experienced 1.7 million square feet of new office construction started, totaling 7.9 million square feet year-to-date, below the average of 9 million per quarter over the last three years. These figures signal potential future supply constraints for high-quality office spaces. JJL's analysis also showed that, despite a pullback in public equity prices, corporate operating results improved, with S&P 500 annualized earnings reaching $1.7 trillion in Q3. The labor market remains healthy, but signs of softening appear in office-using sectors like professional services and information. Job openings have marginally decreased, and quit rates, reflecting employee leverage, have dipped below 2019 levels for the past two months. However, JJL predicts stabilization in 2024 due to progress in return-to-office plans and decreasing sublease additions. https://tinyurl.com/JLL-2023