An executive suite operator in the First National Bank Center terminated its lease in the fourth quarter, putting three floors on the market. The department currently occupies half of Downtown's Comerica Bank Building. That would be a colossal office dump of about 150,000 square feet. While some of the prime space no doubt will be backfilled by new tenants seeking primo locations, the shakeouts leave other office complexes in the lurch. There's a surprisingly large number of groups looking to give back some space.
Many companies are just kind of hunkering down and looking towards the future.
But when your market is at 10 percent vacancy and there has been a slowdown in activity, it allows that type of product to get absorbed. But with big lease rollovers on the horizon, the office market is likely to get even more active. It's a perfect time to be hooking into these tenants and build them something. Sounds like office dumping may become a way of life for the time being.