The addition of uncommitted office inventory and persistent economic uncertainty resulted in a somewhat distressed third quarter for Atlanta. However, while vacancy and sublease available inventory have continued to trend upward in recent quarters, leasing activity in the third quarter was at a year-to-date high of 2.1 million SF leased, with suburban submarket Northwest leading the way in tenant demand. Average lease sizes are shrinking as corporations reevaluate footprints and are often committing to less space, but it’s coming at a price. Average asking rents increased $0.20 per square foot from last quarter. Atlanta’s development pipeline has slowed substantially in 2023, ending Q3 at 2.6 million SF under construction, the lowest level since 2015.