Office Vacancy Improves, But Troubled Markets Face New Debt Test
Why this matters
Office continues to trade in two distinct markets: trophy assets in walkable submarkets that are leasing at or near record rents, and commodity Class B and C buildings where the basis is still resetting. Underwriting on the latter has moved toward replacement-cost-minus, with credit underwriting now leaning on tenant covenant and remaining lease term rather than mark-to-market expectations. For LP-positioned capital, the read-through is that the bifurcation is now a structural feature of the sector, not a cycle to wait out.
Editorial analysis · Real Estate Trail Editorial
On the RET wire
- Disclosed office deal value tracked in September 2026: $9.9B across 49 reported transactions. All Office coverage →
Computed from Real Estate Trail’s own tracked coverage
External link. Real Estate Trail does not republish source content.
Related coverage — Office
Conduct AI Takes 7K SF at Capstone’s 140 Crosby Street for First U.S. Office
A London-based artificial intelligence firm developing enterprise software is establishing its first U.S. office presence in Manhattan’s SoHo neighborhood, Commercial Observer has learned. The rapidly growing Conduct…
San Antonio Credit Union Buys Former Sunoco Office Building
Security Service Federal Credit Union acquired The Rim, a 319,000 square foot office at 19003 W. Interstate 10. Sunoco, the seller, purchased the office of its subsidiary, NuStar, two years ago. Security Service said…
Greenberg Traurig Strengthens Capital Markets and Finance Practices in Mexico
Firm Adds Two Shareholders and Two Associates MEXICO CITY, Sept. 23, 2026 /PRNewswire/ -- Global law firm Greenberg Traurig, LLP strengthened its Capital Markets and Finance practices in its Mexico office with the add…
New York Life Provides $386M Refi for 200 Madison Avenue
A joint venture between George Comfort & Sons , Loeb Partners Realty and Jamestown has secured a $386 million loan to refinance its Midtown East office tower at 200 Madison Avenue , Commercial Observer has learned. Ne…
Irish Arts Center Signs 4K-SF Lease at GFP’s 630 Ninth Avenue
GFP Real Estate has signed three new office deals at its Film Center Building in Hell’s Kitchen. The largest of the leases at 630 Ninth Avenue was for the Irish Arts Center , known in the Hibernian tongue as An…
Dallas Midrise Office Building Acquired by Montclif, FCP
Goldman Sachs Asset Management traded 2401 Cedar Springs, a seven-story, 200,000 square foot office building in Uptown Dallas. Montclif and FCP were the buyers. Commercial Edge reports the building is currently 63 per…