Dissecting Atlanta’s Office Leasing Activity

The key trends, leasing activity, vacancy rates, and economic indicators that are shaping the city's office real estate landscape.

As we move further into 2025, Atlanta's office leasing landscape continues to show significant activity and trends that businesses need to monitor closely. The following breakdown dives into key submarkets, offering insights into leasing volume, tenant behavior, and emerging opportunities for growth. This data, provided by JLL and supported by additional industry sources, is essential for CEOs, CFOs, and HR leaders to understand the office space market's trajectory.

2024 Office Leasing Activity: The Big Picture

The 2024 leasing environment in Atlanta has proven to be resilient. A total of 7.3 million square feet (MSF) of Class A and Trophy office space was leased, signaling a strong recovery. The data reveals that 75% of tenants either maintained or expanded their footprints in 2024. Notably, 44% of leasing activity involved tenants growing their space, while 31% remained stable, and 18% downsized. Only 7% of the leasing volume came from new-to-market tenants.

Additionally, year over year, Atlanta's office market overall office experienced a significant uptick in leasing activity, with approximately 10.6 million square feet (msf) leased, marking an 8.8% increase ye

Data source: Avis Young

The fourth quarter alone accounted for nearly 2.3 msf, surpassing the five-year quarterly average of 1.9 msf, underscoring sustained momentum in tenant demand.

Wall Street Journal's reent article Jan 28,2025, 'Investors Who Shunned the US Office Market are Coming Back', quoted real-estate analytics firm Green Street's January report stating, "Certain business districts are also experiencing shortages of the most desirable space and rising rents because there has been practically no new development in recent years."

In the meantime, at 78.2%, Atlanta's office visitation is outpacing the national average of 70.6%

Breaking Down Leasing Activity by Submarket

Leasing activity varied significantly across Atlanta's key office submarkets. Here's a closer look at the dynamics in each area:

Central Perimeter – 1.79 MSF Leased

Central Perimeter, the center of business in Atlanta, stands as the top performer in 2024, with 1.79 MSF leased. Its strategic location near major highways and transit hubs, such as MARTA, continues to draw tenants. This submarket's concentration of Class A office spaces remains highly attractive for companies seeking accessibility and strong infrastructure. Expect more corporate relocations and expansions here as demand for high-quality, well-located office spaces intensifies.

Noteworthy transactions in 2024 included AIG's 178,666-square-foot lease at 2002 Summit Boulevard represented by Gregg Metcalf and team. This among multiple others represented by Gregg Metcalf and team reflect reflects a broader trend of large firms consolidating operations and expanding their footprints in the Atlanta market.

Central Perimeter Case Study here: Mercedes HQ USA - 225,000sf BTS

Central Perimeter Case study: AIG - 178,666sf AIG Case Study available upon request: email gregg.metcalf@jll.com

North Fulton – 1.53 MSF Leased

North Fulton saw a solid 1.53 MSF leased in 2024. This market, offering a mix of high-end office buildings, continues to be popular with tech companies, financial firms, and professional services looking for suburban options. Its proximity to affluent residential areas makes it a prime choice for businesses targeting the northern metro region. Expect this submarket to continue growing as businesses seek Urban Edge projects such as Avalon, Continuum and Halcyon in Alpharetta, Medley in Johns Creek, and Southern Post in Roswell, all accessible, cost-effective office space without sacrificing convenience.

Midtown – 1.47 MSF Leased

Midtown's leasing volume of 1.47 MSF highlights its position as a major hub for the technology, creative, and professional sectors. Known for its vibrant urban environment and proximity to Georgia Tech, Georgia State, and HBCU's, Midtown continues to appeal to firms that value an energetic atmosphere and access to talent. As a result, leasing activity here remains robust, driven by companies seeking to establish themselves in a walkable (2 MARTA stops), amenity-rich district.

Noteworthy transactions in 2024 included Deloitte's 115,000-square-foot lease at Promenade Tower represented by Gregg Metcalf and team. This among multiple others represented by Gregg Metcalf and team reflect reflects a broader trend of large firms consolidating operations and expanding their footprints in the Atlanta market.

Midtown Case Study here - Cisco - 93,000sf

Midtown Case Study here - Deloitte - 115,000sf

Buckhead – 1.41 MSF Leased

Buckhead remains a major player in the office leasing market, with 1.41 MSF leased in 2024. This area, known for its luxury office spaces and high-end amenities (2 MARTA stops), is favored by large enterprises, especially those in the financial, legal, and real estate sectors. Buckhead’s stronghold as a premium destination for corporate tenants is likely to continue.

Northwest – 1.37 MSF Leased

Northwest Atlanta experienced healthy leasing activity in 2024, with 1.37 MSF leased. The Northwest submarket appeals to companies looking for office space that combines suburban advantages with close proximity to the central business district. It’s particularly attractive to industries like manufacturing, distribution, and professional services, which require large, flexible office layouts at competitive prices.

Central Perimeter Case study: Southern Lighting Source 13,863sf Southern Lighting Source Case Study available upon request, email gregg.metcalf@jll.com

Downtown – 854 KSF Leased

Downtown Atlanta, while slower compared to other submarkets, still saw a respectable 854 KSF leased in 2024. The area’s ongoing urban revitalization, alongside its historic significance, continues to attract tenants looking for space in a central location (MARTA stops). While leasing activity in Downtown lags behind other submarkets, it remains a key location for law firms and city, county, state, and federal offices.

Northeast – 512 KSF Leased

Northeast Atlanta saw 512 KSF leased in 2024. The convenience of major highways and the availability of high-quality office spaces at competitive prices make Northeast Atlanta an attractive choice for businesses seeking to combine efficiency with accessibility. The trend towards suburban office spaces remains strong. As long as the Northeast submarket adapts and provides Urban Edge options, it will continue to grow.

Northlake – 296 KSF Leased

Northlake, one of Atlanta’s smaller office submarkets, saw 296 KSF leased in 2024. While leasing activity here is lower than in other submarkets, Northlake’s strategic location within DeKalb County and its relatively lower rental rates make it an appealing choice for companies looking for more affordable office space.

Final Takeaways: Where the Atlanta Office Market is Headed

Atlanta's office market in 2024 reflects a strong recovery, with key submarkets showing varying levels of activity. Central Perimeter and North Fulton remain the most active, driven by demand for well-located Class A office space. Midtown and Buckhead are still top destinations for creative and corporate tenants, while Northwest offers a balance of suburban advantages and access to the city. Finally, Downtown is undergoing a transformation with an increase in residential that could lead to increased leasing activity in the years to come.

For businesses making strategic decisions about office space, understanding these trends and how they play out in each submarket is critical. While the overall leasing volume remains strong, tenant behavior is shifting—most companies are upgrading their location to Urban Edge or urban environments, and they are redesigning their interior spaces to accommodate hybrid office space solutions. looking for flexible, hybrid office space solutions. As companies continue to reassess their real estate needs, those who stay ahead of these trends will be best positioned to capitalize on the evolving market dynamics.

Sources:

JLL Research, 2024 Office Market Data

Additional insights from Partners Real Estate, Avison Young, and Savills

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Noteworthy transactions in 2024

AIG's 178,666-square-foot lease at 2002 Summit Boulevard

represented by Gregg Metcalf and team

Deloitte's 115,000-square-foot lease at Promenade Tower
represented by Gregg Metcalf and team.

These, among multiple others represented by Gregg Metcalf and team, reflect a broader trend of large firms consolidating operations and expanding their footprints in the Atlanta market.

Take the Next Step

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Working with me, clients gain the insights, the analysis, and the plan to obtain the lease and office space that retains the best employees, attracts top talent, and maximizes profitability.

To Contact Gregg Metcalf:

email: gregg.metcalf@jll.com

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