The Atlanta office market is in good shape, as rent growth and vacancy continue to outperform historical averages. These fundamental markers are due to strong job growth in office-using employment and a relative lack of new supply. Further, most of the new office this cycle has been build to suit, with State Farm, Cox Communications, and NCR leading the way. And even though we are experiencing the most deliveries than at any other point during the current cycle, the net amount of new supply still falls short of Atlanta's historical average. These conditions have typically created a lucrative environment for deals, but the average number of sales transactions recorded during the recovery have been falling lately simply because the amount of inventory available for purchase is dwindling. Based on these factors, Atlanta’s office fundamentals are expected to remain strong.
