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The NAI Partners Sublease Index—measured by the amount of sublease space as a percentage of total available space—increased 10 basis points to 15.6% in March.
The increase was due in part to Sonoco Logistics placing 86,000 sq. ft. of sublease space—the total of its lease—on the market at Lake Pointe Plaza in Sugar Land; and petroleum and gas company Halcon Resources adding 52,000 sq. ft. of sublease space at 1000 Louisiana St. – Wells Fargo Plaza. A 47,958-sq.-ft. sublease was signed at 5444 Westheimer Road, with a projected move-in date of April 2018, bringing the total amount of available sublease space to 9.3 million sq. ft.
The price for sublease space in newer office buildings fell to a record low. The average asking gross rental rate for sublease space in Class A buildings built in 2014 or newer is at $17.77 per sq. ft., down $20.50, or 53.6%, since the oil downturn became apparent in the office market in Q3 2014.
Director of Research
tel 713 275 9618