Office vacancy rates in Baltimore city have increased slightly close to 13% from 12.5% in the third quarter of 2008. Many businesses in Greater Baltimore are placing office expansions on hold due to the tight economy. There is growing request for short-term lease extensions on existing space. Tenants looking for new space are often seeking shorter term leases and negotiating out of longer term commitments. While there is uncertainty in the market, the Baltimore office market is expected to have flat to moderate rental growth rates in well positioned office buildings. Class A CBD office space is averaging $26/SF. The average quoted asking rental rate across all CBD office classes was $21.6/SF.
Sourece: Sperrry Van Ness|RealSite Commercial Group