Hybrid work is no longer a question mark for the office market; it is the organizing principle, reshaping performance differently across major metros, according to Yardi Matrix’s November 2025 National Office Report. The share of Americans working from home has been declining since 2021, but it has not returned to 2019 levels, and “hybrid work is now the standard for most firms in the U.S., and a full return to the office is not expected,” the report said. Nationally, the full-service equivalent listing rate averaged $32.81 per square foot as of October 25, 2025, up just 0.1% year-over-year, while total vacancy stood at 18.6%, 90 basis points lower than a year earlier, according to Yardi Matrix.
The report includes 25 metros that illustrate how divergent conditions have become. On the pricing side, the 10 highest listing rates among those markets and their 12‑month changes are: Manhattan at $67.96 per square foot, down 0.7%; San Francisco at $65.30, up 4.7%; Miami at $56.34, up 6.6%; the Bay Area at $51.59, down 4.8%; Boston at $48.65, up 2.8%; Los Angeles at $46.65, up 10.4%; Austin at $45.79, down 2.1%; San Diego at $45.23, up 5.7%; Washington, D.C., at $40.50, down 2.2%; and Atlanta at $36.38, up 9.1%, according to Yardi Matrix.
The 10 lowest listing rates in the report underscore how much more affordable some metros remain. Detroit posted $21.57 per square foot, up 0.5% over 12 months; the Twin Cities registered $27.16, up 4.0%; Orlando came in at $27.47, down 2.4%; Houston at $27.49, down 9.0%; Chicago at $28.12, up 3.3%; Portland at $28.42, up 0.6%; Denver at $29.33, down 6.5%; Phoenix at $29.67, up 5.1%; Tampa at $29.87, up 1.4%; and Philadelphia at $31.69, down 3.2%, Yardi Matrix reported.
Vacancy data tell a similarly mixed story. The 10 metros with the lowest total vacancy in the report and their 12‑month change in basis points are: Manhattan at 13.0%, down 370 basis points; Miami at 13.4%, down 110; Tampa at 14.2%, down 30; Los Angeles at 14.6%, down 120; Boston at 15.6%, down 120; the Twin Cities at 17.3%, up 190; Phoenix at 17.4%, down 100; Nashville at 18.2%, up 70; Orlando at 18.3%, up 220; and Chicago at 18.7%, up 20. At the other end, the 10 metros with the highest total vacancy are: Seattle at 27.4%, up 160 basis points; Austin at 26.9%, down 70; San Francisco at 26.1%, down 160; Detroit at 24.1%, up 160; Denver at 23.5%, down 110; the Bay Area at 22.9%, down 350; San Diego at 22.1%, up 150; Dallas at 22.0%, down 100; Portland at 21.0%, down 110; and Houston at 20.2%, down 420, according to Yardi Matrix.
Yardi Matrix cautioned that the numbers alone can be misleading. On the surface, Charlotte looks merely average, with its full-service equivalent listing rate down 1.2% year-over-year to $33.44 and its vacancy rate up 240 basis points to 18.9%, leaving it out of both the top and bottom 10 lists for either rents or vacancies.
Yet the report describes the Charlotte office market as “well positioned,” noting that it has delivered 7.1 million square feet of new space since 2021, equal to 9% of stock, and now has less than 300,000 square feet under construction, while “as development slows, demand from job formation remains solid.”
The development pipeline is also concentrated in a handful of markets. The 10 metros with the largest office supply under construction, according to the report, are Boston, with 4,647,384 square feet underway; Manhattan, with 2,955,773 square feet; Dallas, with 2,560,059 square feet; Los Angeles, with 1,979,014 square feet; Austin, with 1,578,031 square feet; San Diego, with 1,380,511 square feet; Houston, with 1,309,249 square feet; Miami, with 1,225,784 square feet; Philadelphia, with 1,103,404 square feet; and New Jersey, with 1,076,091 square feet.
© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.