TAKEAWAYS

• Despite the concerns over the Omicron variant, the Dallas-Fort Worth (DFW) office market closed the year with strong leasing activity at 3.2 million square feet (msf). However, the market remains tenant-favorable with the total availability rate at 28.5% in the fourth quarter.
• Landlords in the DFW office market have kept their face rents high during the global pandemic. Instead, owners are offering larger concession packages consisting of free rent and additional tenant improvement allowances.
• According to the Federal Reserve Bank of Dallas, DFW employment gains during the fourth quarter puts DFW’s labor market 1.7% above its pre-pandemic level.
• CBRE pre-leased for 200,000 sf and plans to relocate to 2401 McKinney Ave in Uptown. Meanwhile, in the West LBJ submarket, At Home is relocating their headquarters office from 1600 East Plano Parkway to 9000 Cypress Waters Boulevard, leasing 176,000 sf.

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