Detroit Office Market Report
Business Expansions Offer Brighter Outlook;
Elevated Construction Poses Challenges
Job gains provide encouragement. Robust hiring in the first quarter including more than 5,200 positions in traditional office-using sectors provide a more favorable expectation for the Detroit office sector. The region’s vast supply of tech talent and relatively lower cost of living are drawing firms. Earlier this year, Apple stated that it will open its first U.S. Developer Academy in the city of Detroit. More recently, the announced merger of Huntington Bank with TCF Bank will result in the metro becoming the headquarters for the commercial bank division. Roughly 800 of its employees are expected to be housed in downtown Detroit. Widespread vaccinations will bring these and other employees back to offices, which should improve leasing activity after the pandemic delayed space decisions at many firms.