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Market Report

Detroit Office Market Report

2Q 2024

Office Leasing in Southfield and West Wayne County
Propels Net Absorption to a Multi-Year High

Pair of submarkets responsible for demand surge. Detroit’s occupied office stock total grew by more than 450,000 square feet during the opening three months of this year, the strongest quarter for demand since the final period of 2021. That resurgence occurred despite six of the metro’s 11 submarkets recording negative absorption, including the net relinquishment of almost 420,000 square feet in the central business district. Softness in the core was offset by robust performance in Southfield and West Wayne County — which combined for the net absorption of almost 1 million square feet during the first quarter. Southfield alone accounted for more than three-fourths of that volume, representing the submarket’s strongest quarter on record. New move-ins here included a collection of 25,000-square-foot-plus commitments. The area’s relatively affordable rents, with an average asking rate that trailed the CBD by about 30 percent in March 2024, may be contributing to rising demand. 

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