Q3 2022 West Midtown Office Submarket Report

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West Midtown DEEP DIVE Q3 2022 Report

Leasing Strong, Three Q3 Deliveries for West Midtown

West Midtown saw positive absorption of 55,640 square feet in Q3 of 2022, the sixth quarter of positive absorption in the last seven for the growing submarket. All of the Q3 gains took place in Class A properties, which have seen positive absorption of 327,805 square feet year-to-date. As was the case with much of the Atlanta office market, West Midtown saw its vacancy rate rise despite experiencing positive absorption thanks to the delivery of new product. Allied Studios (two buildings totaling 185,000 sf) and Westside Paper (223,851 sf) both delivered in Q3. Both buildings at Allied Studios are 100% leased, however will not be occupied by their tenants until Q4 of 2022 at the earliest. Westside Paper is 0% leased, thus resulting in over 400,000 square feet of vacant space hitting a submarket that is easily affected by vacant deliveries thanks to its small overall inventory.

WEST MIDTOWN

Total Inventory SF

Direct Vacancy Rate

Sublease Vacancy Rate

Total Vacant SF

Vac Rate Q3 ‘22

Vac Rate Q2 ‘22

Net Absorp Q3 ‘22

Net Absorp YTD

Deliveries YTD

Under Constr

Avg Rent (FSG)

Class A

1,516,571

33.3%

3.3%

555,698

36.6%

35.7%

78,812

327,805

323,851

902,870

$44.30

Class B

1,469,297

14.9%

1.5%

241,649

16.4%

12.5%

(22,461)

6,294

40,000

-

$32.78

Class C

537,554

4.0%

0.0%

21,698

4.0%

3.9%

(711)

2,952

-

-

$28.61

Total

3,523,422

21.2%

2.1%

819,045

23.2%

20.7%

55,640

337,051

508,851

902,870

$42.16

ACTIVE WEST MIDTOWN UNDER CONSTRUCTION PROJECTS

1 M

O

O

RES

RD MILL

209,174 SF

W WESLEY RD NW

P E AC H T R E

E

B AT

T L E AV

Interlock Office Phase II Aug 2023

S.J. Collins E

2

926 Brady Ave 32,578 SF

Apr 2023

Clarion Partners

CH

NORTHSIDE DR

3

274,976 SF

T AT

AH

MA

O OCHEE AV E

765 Echo Jun 2023

Lincoln Property Company

NW

RIE

Jun 2023

17TH ST

ILL

Lincoln Property Company

RD

2

14TH ST

1

5 10TH ST

3

Science Square Labs 364,871 SF

Mar 2024

Trammell Crow Company

4 LD LEE HOLLOWELL NA

DO

745 Echo 21,273 SF

LM

NW

EL

D LV

H OW

AB TT

4

AVE NW TH NOR

5

902,8 70 sf under construction lpcsoutheast.com The information contained herein has been obtained from the owner of the property or from a source deemed reliable. While Lincoln Property Company has no reason to doubt its accuracy, we do not guarantee it.


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Q3 2022 West Midtown Office Submarket Report by Lincoln Property Company Southeast - Issuu