Closing out 2024 with our first ever Quarterly Market Reports. Dive into our latest updates for a comprehensive review of Q4 and valuable insights to kick off the new year with momentum!
OFFICE – The Pittsburgh office market is steadily progressing, though it faces its challenges. Thanks to particularly strong activity in Greater Downtown, Butler County, and Parkway East, Q4 2024 saw an increase in direct asking rents across the region, along with an overall drop in vacancies. On the other hand, areas like the Central Business District, Washington County, and Oakland experienced lower net absorption. While some older office properties are still struggling, the rising trend of return-to-work mandates, adaptive reuse and redevelopment projects, and ongoing flight-to-quality preferences are expected to significantly influence the future of the office market in the latter half of the decade.
INDUSTRIAL – Pittsburgh’s industrial market continued its positive momentum with net absorption and reduced vacancies for the third consecutive quarter, despite a decline in demand across larger sectors such as Westmoreland County, West Pittsburgh, and North Pittsburgh. Key industries like logistics, advanced manufacturing, and clean energy are leading the charge in new developments, reinforcing Pittsburgh’s position as a center for innovation and supply chain operations. Major public and private investments are fueling large-scale projects, generating jobs, and boosting the region’s attractiveness to industries seeking robust infrastructure, talent, and sustainable growth opportunities.
RETAIL – As we step into the New Year, the retail market reflects a mix of competing forces. While some national net lease powerhouses are showing signs of weakness, e-commerce and on-demand delivery continue to disrupt traditional retail. At the same time, consumer preferences are evolving, with a growing emphasis on experiences, though overall discretionary spending remains more restrained. Pittsburgh’s Q4 2024 marks the third consecutive quarter of positive net absorption, with deliveries surpassing the total of the previous three quarters combined.
