Grand River Growth Plan -All Gibbs for City Jan 2 2026 - Flipbook - Page 69
U.S. Office Market Overview
Figure 6: Left- Mercedes-Benz Financial Services, Right-Japanese Solderless Terminals Campus; Farmington Hills, MI .
The U.S. office market has changed drastically since the 2021-2022 pandemic with many companies
adopting hybrid or fully remote setups. This drop in traditional office demand has led to higher vacancies
and more sublease options. Employers are trimming footprints to lower costs and increase flexibility.
Advances in Article Intelligence and automation further reduce space needs by supporting greater
output with fewer workers. This shift continues to suppress office leasing and new construction. Building
owners must adapt or risk prolonged vacancies.
Office-to-residential or mixed-use conversions are on the rise, especially in city centers. These projects
tap into housing demand and revitalize areas burdened by obsolete office stock. While the market
remains in flux, creative reuse and flexible leasing strategies are critical for success.
While this discussion outlines broad trends shaping the U.S. office market, actual demand hinges on local
factors. Communities each have unique economic conditions and workforce needs that determine how
national trends manifest at the local level.
Figure 7: The Grand River Ave. Study Area Business Summary
Grand River Corridor Office Market Analysis
Gibbs Planning Group
July 2, 2025
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