Colliers: Office Market Strong in 4Q

The national office market posted a strong fourth quarter as demand for office space exceeded expectations nationwide, according to Colliers International, a Boston-based commercial real estate manager.Office vacancies totaled 12.55% in the fourth quarter, down from 12.73% in the third quarter and 13.59% in the fourth quarter of 2005, Colliers reported. Both downtown and suburban asking rents increased in the fourth quarter, rising 6.4% and 3.6%, respectively. "The story of Q4 was, without question, rents," said Ross Moore, senior vice president and director of market and economic research at Colliers. "We anticipated this trend, but certainly not to this extent." Absorption totaled 24.4 million square feet, up from 23.4 million square feet in the third quarter but down from 27.8 million square feet a year earlier. The company can be found online at http://www.colliers.com.