East Bay office vacancy and rents inched down slightly during the first quarter, giving tenants reason to shop for new space and better rates.
In Oakland, many recent deals involved tenants moving within the same area, including law firms Foley & Mansfield’s move into Swig Co.’s Kaiser Center to take space formerly occupied by Donahue Gallagher Woods LLP, which is moving to nearby Lake Merritt Plaza.
... Less vacant space came on the market during the first quarter, but vacancy will likely stay at the current level or could increase, said Jennifer Collins, a broker with Studley in Walnut Creek.
“A lot of leases are going to be expiring this year and there’s a lot of shadow space in the market,” she said.
Shadow space refers to space companies have leased but are not occupying. Tenants with leases coming due will likely try to downsize their leases or move to smaller spaces.
“We don’t know what else is out there in terms of shadow space,” Collins said.
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