Memphis Office Market Report

Steady fundamentals continue in year’s second half. Amid mounting uncertainty as to the future of office utilization, Memphis shines as one of the nation’s more stable markets. The metro noted its sixth consecutive quarter of positive net absorption during the three-month span ended in June, bringing the vacancy metric down to 11.3 percent, 230 basis points below the post-2006 average. In line with broader trends, firms have been avidly pursuing Class A leases thus far in 2023 to incentivize office attendance among employees. Nearly 300,000 square feet of top-tier space was absorbed on net during the second quarter alone, marking one of the most active such spans for amenity-rich leases over the past decade.