Metro Atlanta’s Office Market Revival
When the COVID-19 pandemic began in 2020 and forced most commuters to work remotely, the future of metro Atlanta’s office market turned bleak. Today, our region’s professional landscape is experiencing a revival as more people head back to the workplace. This influx of in-person work presents a unique opportunity for employers to find new office spaces within metro Atlanta’s commercial real estate market that support current workforce and business needs.
A Leader in RTO Growth
Atlanta is a national leader in return-to-office growth, with a 7.3% increase in office visits since August 2023 (compared to a nationwide increase of only 1.8% over the same time period).
Our region experienced an uptick in 2024 leasing activity, especially large transactions, which can be credited to more employers — including the federal government — enacting return-to-office mandates. In fact, Atlanta is a national leader in return-to-office growth, with a 7.3% increase in office visits since August 2023 (compared to a nationwide increase of only 1.8% over the same time period). The decision by many employers to embrace remote/hybrid work models, allowing workers to stay home most or some of the time, has been a huge determining factor in their leasing choices.
Since most teams will not be in the workplace at the same time each day, companies are leasing smaller office spaces to account for fewer people needing to commute to work. Businesses are also looking to invest in nicer commercial spaces with convenient locations and amenities employees will value to help retain their workforce.
Atlanta Attracts CRE Investors
Despite the hit our region’s office market took during the pandemic, metro Atlanta still maintains its reputation as a resilient city with a robust workforce and multiple opportunities for business growth. In a recent survey of commercial real estate investors by CBRE, Atlanta was ranked #4 among the top 10 U.S. metropolitan cities with the most attractive markets for investment. This ranking was determined by several factors, including the city’s increased leasing, population growth, and diversity of educational institutions and employment sectors.
As more employees return to the workplace and demand for office space continues to rise, experts believe increased leasing activity could help correct our region’s office market in the next few years. This sounds promising, especially when office utilization by metro Atlanta’s workforce has already increased from 10% in 2020 to 60%, currently keeping pace with the rest of the country.
Prepare for the Future of Work
Georgia Commute Options can help prepare you for the future of work.