February 15, 2017

Although tech industry job growth has moderated somewhat in recent years, high-tech firms once again accounted for the largest share of major office leasing activity in 2016 at more than 18%. The industry has been the largest driver of office demand since at least 2013. The financial services, business services and health care/life sciences industries each accounted for more than 10% of major leasing activity in 2016. Due to the drop in oil prices, the energy sector’s share of major leasing activity fell again, and has decreased from 5.5% in 2013 to 1.4% in 2016.

High-tech accounted for the largest share of leasing in San Francisco, Austin and Boston as well as Seattle, where the industry accounted for nearly 80% of activity. Other markets in which a single industry accounted for more than one-third of leasing activity were Washington, D.C. (government), Midtown Manhattan (financial services), Chicago (legal), Los Angeles (creative industries) and Dallas/Ft. Worth (retail).

Andrea Cross
Head of Office Research
CBRE | Americas Research
+1 415 772 0337

Julie Whelan
Head of Occupier Research
CBRE | Americas Research
+1 617 912 5229