Tech “Largest Single Source” of Office Demand in 2019

Los Angeles

Tech was the “largest single source” of office leasing demand in 2019, according to Andrew Ouvrier of Cox, Castle & Nicholson, and the sector continues to grow. As a result, tech will continue to be a major player in the national office market this year and well into the future. However, these companies are looking for specific office spaces with amenities and open floor plans, and as a result are only impacting a specific segment of the office market.

“Many tech companies are currently growing and expanding into new space. That demand alone can drive rental rates up, but tech companies are looking for more than simply good office space; they’re looking for spaces that have or are near amenities such as food options, entertainment, fitness centers, and private and communal workspaces,” Ouvrier, a partner at Cox, Castle & Nicholson, tells GlobeSt.com. “These companies need these amenities in order to promote a work/life balance for their employees and in order to attract and retain talent.