Top Office Developers Hit the Pause Button on New Projects
U.S. real-estate developers are delaying major office projects already underway or in the planning stages, discouraged by high vacancy rates and the reduction in workspace demand resulting from remote work.
Some property developers view periods of economic uncertainty and weak office demand as good times to launch new projects. Because large-scale developments tend to take three to five years or longer, developers bet that tenants looking to trade up in office quality will be drawn to modern offices with lots of amenities, just as the economy is gaining steam.