Key Data from Savills Studley's Q2 2018 – DC Region
• Overall availability holding fairly flat from Q1, now at 16.2%, and still up a staggering 3.7pp from two years ago due to new deliveries hitting the market.
• Over 2.0 msf has delivered so far this year, with an additional 5.0 msf set to deliver by the end of 2019.
• 90.0% of quarterly leasing activity came from the private sector with several large tenants executing expansions this quarter including The Caryle Group, WeWork, and EverFi.
• Asking rents increased by 1.4% over the year with the flux of new deliveries, however there is no sign of a pullback in the record-high concessions that prevail.
• A very slow stabilization continues in Northern Virginia, with overall availability creeping down 0.3pp over the quarter (and year) to 20.5%.
• Stronger demand seen in recent quarters with a 24.7% increase in total mid-year leasing activity compared to last year.