Market momentum continued into Q1 2014 as fundamentals across geographies tightened, driving occupancy, rents and construction upward. Absorption gains totaled 8.4 million square feet in the quarter, contributing to 16 consecutive quarters of occupancy growth, while vacancy stayed stable at 16.6 percent. Class A space dominated absorption, absorbing over 70 percent of space, though its share of quarterly absorption has fallen, with more activity in Class B. Secondary and sunbelt markets showed strong gains, with Atlanta and Phoenix leading absorption.

1. Momentum building across and
through markets
United States Office Review Q1 2014

2. Market momentum defined the first quarter as
fundamentals across geographies tightened,
driving occupancy, rents and construction
upward.

3. Pace of the recovery beings to accelerate as most fundamentals
demonstrate tightening
2
Source: JLL Research
Leasing activity
• Q1 posted 58.3 million square feet of leasing activity.
• Leasing levels down 4.9 percent from Q4 2013.
• Compared to Q1 2013, leasing volume is down 4.1 percent.
Absorption
• Absorption levels increase, resulting in the 16th consecutive quarter of occupancy growth.
• Absorption gains totaled 8.4 million square feet in the quarter and overall in 2013, the highest first-quarter
activity seen in the recovery so far.
• This quarter’s biggest contributors to absorption were Houston, Atlanta, Silicon Valley, Baltimore, Los Angeles
and Phoenix.
Vacancy
• Vacancy stayed stable at 16.6 percent as new space begins to slowly come to the market despite increased
occupancy gains.
• Similarly, CBD total vacancy remained at 13.9 percent and suburban total vacancy stayed firm at 18.2 percent.
Rents
• Tenants have far less leverage across urbanized, core markets, especially in Trophy and Class A buildings.
• Rents have now increased in 13 of the past 14 quarters.
• Class A rent growth continues to trump Class B rent movement across the board.
• Rents growing 1.6 times faster in CBDs than suburbs as the latter see a boost in momentum
• Concessions continue to erode and are now at 2008 levels nationally, but rate of decline slowing.
Construction
• Construction starts no longer dominated by specific geographies.
• Most markets will not see new deliveries enter the market until 2015, presenting challenges for large tenants,
especially in CBDs.

4. 36.0 percent of markets report declines in leasing activity;
sentiment is evenly split
3
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2011 2012 2013 2014
Up Neutral Down
Source: JLL Research

5. Leasing activity totaled 58.3 million square feet, down 4.9
percent from Q4 2013
4
0
10,000,000
20,000,000
30,000,000
40,000,000
50,000,000
60,000,000
70,000,000
80,000,000
90,000,000
2007 2008 2009 2010 2011 2012 2013 2014
Leasingactivity(s.f.)
Source: JLL Research

6. Although the second consecutive quarter of leasing decline, Q1
2014 fares better than majority of recent first quarters
5
58,252,653
65,224,522
50,241,243
61,609,985
71,966,387
58,110,671
60,769,296
58,292,828
0 10,000,000 20,000,000 30,000,000 40,000,000 50,000,000 60,000,000 70,000,000 80,000,000
Q1 2007
Q1 2008
Q1 2009
Q1 2010
Q1 2011
Q1 2012
Q1 2013
Q1 2014
Leasing activity (s.f.)
Source: JLL Research

7. Outside of top markets, leasing activity relatively even across
geographies
6
0
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
NewYork
Washington,DC
Chicago
Boston
Philadelphia
SanFrancisco
LosAngeles
NewJersey
Denver
Dallas
OrangeCounty
Minneapolis
Baltimore
Atlanta
Tampa
Seattle
Houston
Portland
SanDiego
Austin
Raleigh-Durham
Charlotte
Detroit
SiliconValley
FairfieldCounty
Phoenix
Oakland-EastBay
Pittsburgh
Jacksonville
St.Louis
Sacramento
HamptonRoads
SanFranciscoPeninsula
Cincinnati
SaltLakeCity
Miami
Cleveland
Columbus
Milwaukee
FortLauderdale
Richmond
WestPalmBeach
WestchesterCounty
Orlando
SanAntonio
LongIsland
Indianapolis
Leasingactivity(s.f.)
Source: JLL Research
40.0% 19.0% 41.0%

8. Q1 marks 16th consecutive quarter of positive net absorption and
keeps pace with historical averages
7
-1.0%
-0.5%
0.0%
0.5%
1.0%
1.5%
2008 2009 2010 2011 2012 2013 2014
Quarterlynetabsorption(as%ofinventory)
Source: JLL Research
15-year trailing annual average

9. YTD absorption represents roughly 20.9 percent of last year’s
occupancy gains
8
-4.0%
-3.0%
-2.0%
-1.0%
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
YTDnetabsorption(as%ofinventory)
Source: JLL Research
15-year trailing annual average

10. Suburban Class A space comprises the majority of absorption,
with Class B presence growing
9
-6,000,000
-4,000,000
-2,000,000
0
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
14,000,000
16,000,000
2010 2011 2012 2013 2014
Quarterlynetabsorption(s.f.)
Class A (CBD) Class A (suburban)
Class B (CBD) Class B (suburban)
Class C (CBD) Class C (suburban)
Source: JLL Research

11. Sunbelt posts 430-basis-point absorption growth, while all of
New York’s gains were found in tech-heavy Midtown South
10
Source: JLL Research
NYC and DC (*excludes Midtown South)
Tech markets (*includes Midtown South)
Energy markets
Sunbelt
All other markets
70.0%
29.7%
6.4%
2010
5.1%
33.5%
19.0%
18.4%
23.9%
2011
5.1%
33.5%
19.0%
18.4%
23.9%
2012
11.1%
21.6%
22.3%
18.6%
26.4%
2013
0.0%
34.2%
23.2%
22.9%
19.7%
2014

12. …but a far greater number of markets are now contributing to
occupancy growth
11
-1,000,000
-500,000
0
500,000
1,000,000
1,500,000
Houston
Atlanta
SiliconValley
Baltimore
LosAngeles
Phoenix
Denver
Dallas
FairfieldCounty
Raleigh-Durham
Portland
St.Louis
Detroit
Boston
Seattle-Bellevue
Charlotte
NewYork
Columbus
TampaBay
Chicago
WestPalmBeach
SanFrancisco
Oakland-EastBay
SanFranciscoPeninsula
LongIsland
Cincinnati
SaltLakeCity
Miami
FortLauderdale
Jacksonville
HamptonRoads
Milwaukee
SanDiego
Sacramento
Minneapolis
Cleveland
Austin
Orlando
Indianapolis
NewJersey
Pittsburgh
Philadelphia
WestchesterCounty
SanAntonio
Richmond
OrangeCounty
Washington,DC
YTDnetabsorption(s.f.)
Source: JLL Research

13. Energy, tech and Sunbelt markets all posting above-average
absorption; energy and tech remain ahead
12
0.2%
0.4%
0.8%
0.6%
0.2%
0.3%
0.5%
1.4%
0.8%
0.2%
0.8% 0.8%
0.0%
0.2%
0.4%
0.6%
0.8%
1.0%
1.2%
1.4%
1.6%
YTDnetabsorption(s.f.)
Source: JLL Research
Energy Tech Sunbelt
U.S. average

14. West Coast leads occupancy gains, but all regions nearly level in
terms of absorption, speaking to diversified nature of the
recovery
13
-100%
-80%
-60%
-40%
-20%
0%
20%
40%
60%
80%
100%
2010 2011 2012 2013 2014
Shareofquarterlynetabsorption
East Coast Central West Coast
Source: JLL Research

15. Atlanta and South Florida remain disproportionate contributors,
responsible for 53.8 percent of East Coast absorption in Q1
14
Source: JLL Research
-10,000,000
-5,000,000
0
5,000,000
10,000,000
15,000,000
20,000,000
2010 2011 2012 2013 2014
Netabsorption(s.f.)
Atlanta South Florida Rest of the East Coast

16. -3,000,000
-2,000,000
-1,000,000
0
1,000,000
2,000,000
3,000,000
2010 2011 2012 2013 2014
Netabsorption(s.f.)
Atlanta Chicago Los Angeles Miami Philadelphia Phoenix
As diversified markets recover, Atlanta and Phoenix lead the
pack
15
Source: JLL Research
Atlanta and Phoenix have
absorbed a combined 12.2
million square feet since
2010, or 72.6 percent of
cumulative total.

17. Class B absorption over the past four quarters has exceeded all
Class B occupancy gains from 2010 to Q1 2013
16
Source: JLL Research
8,676,599
10,564,556
0
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
2010-Q1 2013 Past four quarters
ClassBnetabsorption(s.f.)
667,430 s.f. per quarter 2,641,139 s.f. per quarter

18. …but Class A has remains the leader in absorption since 2011
17
Source: JLL Research
Trophy and Class A
net absorption
89.0
m.s.f.2011-2014
Class B and C net
absorption
22.6
m.s.f.2011-2014

19. However, it has resulted in Class A’s share of quarterly absorption
falling to its second-lowest level during the recovery so far
18
133.5%
93.9%
74.5% 76.3%
295.2%
98.5%
82.0% 78.3%
45.2%
73.4%
63.5%
80.9%
57.3%
0.0%
50.0%
100.0%
150.0%
200.0%
250.0%
300.0%
350.0%
2011 2012 2013 2014
ClassAshareofquarterlyabsorption
Source: JLL Research

20. The same holds true for CBDs, with Class A absorbing slightly
less than half of all core space…
19
166.2%
90.4% 88.8%
80.8%
100.0%
106.1%
74.8%
0.0%
88.1% 86.5%
49.6%
92.0%
48.8%
0.0%
20.0%
40.0%
60.0%
80.0%
100.0%
120.0%
140.0%
160.0%
180.0%
2011 2012 2013 2014
ClassAshareofquarterlyabsorption
Source: JLL Research

21. …and while Class A’s share of absorption is higher in the
suburbs, it also displays a downward trend
20
116.9%
97.9%
62.3%
75.1%
167.8%
102.5%
84.3% 85.3%
43.2%
73.4% 72.8% 70.3%
61.1%
0.0%
20.0%
40.0%
60.0%
80.0%
100.0%
120.0%
140.0%
160.0%
180.0%
2011 2012 2013 2014
ClassAshareofquarterlyabsorption
Source: JLL Research

22. A variety of secondary markets posted strongest Class B
absorption in Q1 2014
21
2.3%
1.6%
1.4%
1.3%
1.2%
1.1%
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
Fairfield County Fort Lauderdale Salt Lake City Austin Atlanta Detroit
YTDClassBnetabsorption(%ofinventory)
Source: JLL Research
U.S. average

23. Still, Class A continues to trump Class B according to most
indicators
22
Source: JLL Research
of absorbed space in 2014
has been Class A
per square foot difference
between Class A and B space…
rate at which Class A rates are growing
compared to Class B year-on-year
difference between Class A and
Class B total vacancy

24. Total vacancy steady at 16.6 percent, in part due to new supply
beginning to come to the market
23
15.5%
16.0%
16.5%
17.0%
17.5%
18.0%
18.5%
19.0%
2009 2010 2011 2012 2013 2014
Totalvacancy(%)
Source: JLL Research

25. Still, vacancy levels remain near historical highs
24
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
16.0%
18.0%
20.0%
1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014
Totalvacancy(%)
Source: JLL Research

26. Total vacancy stable for Class A and B space, down for Class C
25
10.0%
12.0%
14.0%
16.0%
18.0%
20.0%
22.0%
2010 2011 2012 2013 2014
Totalvacancy(%)
Class A (CBD) Class A (suburban) Class B (CBD)
Class B (suburban) Class C (CBD) Class C (suburban)
Source: JLL Research

27. Industry Real estate footprint Most affected markets
State government Contracting California, Illinois, New Jersey
Federal government Contracting Washington, DC
Media/print Contracting LA, NYC
Finance/banking Contracting NYC, Charlotte, Chicago, Palm Beach, Pittsburgh
Law firms Contracting (rightsizing) Washington, DC, NYC, SF, Atlanta, LA
Consulting Contracting (rightsizing) NYC, Chicago, Washington, DC
Accounting Contracting (rightsizing) Chicago, NYC, LA
Telecom Stable NJ, Dallas, Atlanta
Retail/consumer goods Stable NYC, Atlanta, Los Angeles
Education Growing Everywhere
Media (digital and TV) Growing Atlanta, NYC, LA, Philadelphia, Washington, DC
Green energy/clean technology Growing Pittsburgh, Silicon Valley, Denver
Real estate (residential) Growing Southern CA, Nevada, AZ, FL, GA, Carolinas
Technology Growing Silicon Valley, San Francisco, Austin, Seattle, Portland,
Midtown South NYC, Cambridge, MA
Shared office space providers / co-working
spaces Growing All markets particularly coastal markets and Chicago
Natural gas/oil/energy Growing Denver, Houston, Dallas, Pittsburgh
Biotech/pharmaceutical Growing San Francisco, San Diego, NJ/Phil, Boston, RDU
Office growth being driven by atypical tenant industries
26
Source: JLL Research

28. Demographics and technology are driving productivity and
utilization and the next evolution of office space use
27
Source: JLL Research
15%
space reduction by
U.S. law firms and
financial services
relocating
72%
of global CREs plan
to aggressively
increase density in
next 3 years
150
Square-foot-per-
employee average
target density, down
from 225 in 2009
50%
of the U.S.
workforce was
baby boomers in
2010. Gen Y will
be 50% by 2020

29. Many of these changes show stark pre- and post-recession
contrasts
28
Source: JLL Research
Floor plates
Floor plates are up
from 25,000
square feet before
the recession to
60,000 square
feet.
Personal space
Before the
recession,
employees had
around 300 s.f. per
person; now they
have 200 s.f.
Interaction
Employees have
gone from rarely
running into others
to a nine-in-ten
chance of bumping
into a coworker.
Building features
Aesthetic and
building features
such as increased
roof heights and
floor-to-ceiling
windows are “in.”

30. And, as a result, law firms are shifting
29
Source: JLL Research
15.2%
Giveback by law firm
across the U.S. when
relocating
20.5%
Giveback by law firm
across the top seven U.S.
markets when relocating
24.7%
Giveback by law firm
across DC when
relocating
• Going digital
• Elimination of law libraries
• One-sized fits all office
• Higher administrative ratios
• Migration to glass boxes
• Migration to long and lean
• Migration to smaller floorplates

31. Consulting and accounting are shifting
30
Source: JLL Research
25.0%
Giveback by consulting
firms across the U.S.
when relocating
225 s.f.
Average space per
consultant in
years past
90 s.f.
Average space per
consultant in the most
efficient firms today
• Benching
• Work flexibly and client officing
• Offices gone, collaboration rooms in
• Increasingly looking at new
construction to meet efficiency
standards
• Industry giving back most space

32. Technology companies are shifting
31
Source: JLL Research
22.0%
Percent increase in
high-tech service jobs
since 2009
14.2%
Total vacancy in core tech
markets, compared to 16.6
percent nation-wide
11.2%
Growth in
core tech market
rents in 2013
• Benching is standard
• Less personal space, more shared
and amenity space
• “Open hangar” design preferred
• Migration to Class B+ with
character
• Space viewed as core to culture
• Remote work is waning

33. Banks are shifting
32
Source: JLL Research
10.1%
Give-back by average bank
across the U.S. when
renewing (flat headcount)
86.0%
Percent of banking
transactions that no
longer need a teller
66.0%
Percent of surveyed
banks planning to
reduce CRE footprint
• Regulation and cost pressures
forcing portfolio consolidation
• Offices shrinking
• Business units competing
• Branch reductions common
• Increasing importance of back
office (second- and third-tier
markets)
• Remote working increasing

34. Even the federal government is shifting
33
Source: JLL Research
170 s.f.
Target utilization rate per
employee for federally
leased space
$1.7 billion
Amount spent annually
by the GSA for properties
deemed underutilized
15.9%
Average give-back by
GSA across Metro DC
in FY 2013
• Telecommuting
• Benching
• Co-locations
• Minimal funds to implement
• Consolidations in low cost
buildings/submarkets
• Migration to off-center locations
• Disposition of underutilized
assets.

35. Slower growth in office-using employment mirrored in stalling
vacancy decline
34
15.5%
16.0%
16.5%
17.0%
17.5%
18.0%
18.5%
19.0%
26,500
27,000
27,500
28,000
28,500
29,000
29,500
30,000
2011 2012 2013 2014
Totalvacancy(%)
Office-usingemployment(thousands)
Office-using employment (thousands) Total vacancy (%)
Source: JLL Research

36. CBD and suburban vacancy remain unchanged at 13.9 and 18.2
percent, respectively; CBD approaching historic norms
35
5.0%
7.0%
9.0%
11.0%
13.0%
15.0%
17.0%
19.0%
21.0%
23.0%
Totalvacancy(%)
Source: JLL Research

37. Sublease space stable at 54.4 million square feet, declines
marginally as vacancy remains same in Q1
36
30,000,000
40,000,000
50,000,000
60,000,000
70,000,000
80,000,000
90,000,000
100,000,000
2009 2010 2011 2012 2013 2014
Subleasespace(s.f.)
Source: JLL Research

38. Marketed rents increase 1.2 percent, registering their 13th straight
quarter of increases and second-highest growth during recovery
37
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
2008 2009 2010 2011 2012 2013 2014
Quarterlyrentgrowth(%)
Source: JLL Research

39. Rental growth fastest in CBD Class A (+2.2 percent year-on-year)
space, driving national increases
38
$15.00
$20.00
$25.00
$30.00
$35.00
$40.00
$45.00
$50.00
2010 2011 2012 2013 2014
Averageaskingrents($p.s.f.)
Class A (CBD) Class A (suburban) Class B (CBD)
Class B (suburban) Class C (CBD) Class C (suburban)
Source: JLL Research

40. U.S. office market moves farther along the clock as more markets
shift into landlord-favorable territory
39
Source: JLL Research
Peaking
phase
Falling
phase
Rising
phase
Bottoming
phase
Austin, Seattle-Bellevue
Dallas, San Francisco Peninsula
Columbus, Long Island, Orlando
Miami, Philadelphia, Portland, San Diego
Chicago, Cincinnati, Cleveland, Fairfield County,
Milwaukee, Minneapolis, Oakland-East Bay,
Raleigh-Durham, Richmond, San Antonio
Charlotte, Detroit, Hampton Roads, Phoenix
Sacramento, St. Louis, Westchester County
Salt Lake City, Tampa, United States
Houston
Baltimore, Fort Lauderdale,
Washington, DC
West Palm Beach
Indianapolis, Los Angeles, Orange County
Boston, Denver
New York, Pittsburgh
San Francisco, Silicon Valley
Atlanta, Jacksonville
New Jersey

41. Faster rent growth in CBDs contributing to faster movement
along clock
40
Source: JLL Research
Peaking
phase
Falling
phase
Rising
phase
Bottoming
phase
Austin, Houston
Charlotte, Cincinnati, Cleveland, Dallas,
Detroit, Milwaukee, Raleigh-Durham
Miami, Seattle CBD
Downtown (New York),
Hampton Roads, San Antonio
Greenwich CBD, Indianapolis, Portland,
Salt Lake City, Stamford CBD
Columbus, Fort Lauderdale,
Richmond, San Diego,
Washington, DC
Baltimore, Sacramento
Chicago, Minneapolis
West Palm Beach
Atlanta, Jacksonville, Philadelphia,
Tampa, United States
Boston, Midtown (New York), Pittsburgh
Los Angeles, Oakland CBD,
Orlando, White Plains CBD
Midtown South (New York)
San Francisco
Denver, San Jose CBD
Phoenix, St. Louis

42. Suburban markets still struggling with elevated vacancy, with
more submarkets still at the bottom of the cycle
41
Source: JLL Research
Peaking
phase
Falling
phase
Rising
phase
Bottoming
phaseAustin, Pittsburgh
Dallas, Silicon Valley
Indianapolis, Jacksonville,
Long Island (Nassau), Orange County,
Portland (Westside), United States
Long Island (Suffolk)
Chicago, Columbus, Detroit, Miami,
Northern Delaware, Portland
(Eastside), Raleigh-Durham, Seattle
Cincinnati, Cleveland, Minneapolis,
Oakland-East Bay, Sacramento, San Antonio
Salt Lake City
Atlanta, Baltimore, Boston, Lehigh Valley, Milwaukee,
Philadelphia, Portland (Vancouver), San Diego, St. Louis
Houston
Charlotte, Fairfield County, Hampton Roads,
Phoenix, Westchester County
Central New Jersey, Fort Lauderdale,
Northern New Jersey, Orlando
West Palm Beach
Denver, Richmond, Tampa
Cambridge, San Francisco
Los Angeles
San Francisco Peninsula
Bellevue CBD
Northern Virginia,
Suburban Maryland
Southern New Jersey

43. CBD rent growth jumps faster than suburban, remains more
volatile
42
-4.0%
-3.0%
-2.0%
-1.0%
0.0%
1.0%
2.0%
3.0%
4.0%
2011 2012 2013
Quarterlyrentgrowth(%)
CBD rent growth Suburban rent growth
Source: JLL Research
CBD average: 1.0%
Suburban average: 0.2%

44. In turn, faster CBD rent growth results in rent gap widening by
$0.38 per square foot in Q1 2014…
43
$20.00
$25.00
$30.00
$35.00
$40.00
$45.00
2010 2011 2012 2013 2014
Averageaskingrent($p.s.f)
CBD Suburbs
Source: JLL Research
$11.36
$15.86

45. …as did the Class A premium compared to overall rents, which
hit a recovery high of $4.97 per square foot
44
$3.00
$3.50
$4.00
$4.50
$5.00
$5.50
2010 2011 2012 2013 2014
ClassApremium($p.s.f.)
Source: JLL Research

46. Concessions wobbling, but overall decline in TI allowances and
free months compared to 2012
45
3.5
4.1
5.1
6.1 6.2
5.7
5.5
5.3
5.5
$23.00
$24.00
$25.00
$26.00
$27.00
$28.00
$29.00
$30.00
$31.00
0.0
1.0
2.0
3.0
4.0
5.0
6.0
7.0
2006 2007 2008 2009 2010 2011 2012 2013 2014
TIallowance($p.s.f.)
Freemonthsofrent
Free months of rent TI allowance ($ p.s.f.)
Source: JLL Research

47. As vacancy falls, so does leverage for tenants and tenant build-
out allowances from landlords
46
15.5%
16.0%
16.5%
17.0%
17.5%
18.0%
18.5%
19.0%
$26.00
$26.50
$27.00
$27.50
$28.00
$28.50
$29.00
$29.50
$30.00
$30.50
2009 2010 2011 2012 2013 2014
Totalvacancy(%)
TIallowance($p.s.f.)
TI allowance ($ p.s.f.) Total vacancy (%)
Source: JLL Research

48. New supply coming to market slowly increasing, but still well
below historic norms
47
0
20,000,000
40,000,000
60,000,000
80,000,000
100,000,000
120,000,000
140,000,000
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Completions(s.f.)
Source: JLL Research
Average annual completions

49. The vast majority of new completions are Class A, with an
increasing share in the suburbs
48
0
5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
2010 2011 2012 2013 YTD 2014
YTDcompletions(s.f.)
Class A (CBD) Class A (suburban) Class B (CBD)
Class B (suburban) Class C (CBD) Class C (suburban)
Source: JLL Research

50. Fewer than one-third of markets have no construction underway
as development activity jumps to 56.0 million square feet
49
0
20,000,000
40,000,000
60,000,000
80,000,000
100,000,000
120,000,000
140,000,000
160,000,000
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Underconstruction(s.f.)
Source: JLL Research

51. The majority of new construction is now in suburbs rather than
CBDs
50
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2010 2011 2012 2013 2014
Shareofconstruction
CBD Suburbs
Source: JLL Research

52. 32.0 percent of markets reported an increase in construction
starts…
51
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2011 2012 2013 2014
Up Neutral Down
Source: JLL Research

53. …resulting in 11.8 million square feet of starts in the first quarter
alone
52
11,843,789
18,490,244
17,558,896
22,251,850
11,818,372
0
5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
2010 2011 2012 2013 YTD 2014
Constructionstarts(s.f.)
Source: JLL Research

54. Houston’s development boom dominated national
groundbreakings during Q1 of 2014
53
0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
Constructionstarts(s.f.)
Source: JLL Research

55. A gap of another 15 to 18 months until the next
cycle of developments deliver in late 2015 will
yield continued market tightening and
consistent rent growth exceeding 12 percent
around the country through 2015.

56. COPYRIGHT © JONES LANG LASALLE IP, INC. 2014
John Sikaitis
Managing Director – Office and Local Markets Research
+1 202 719 5839
John.Sikaitis@am.jll.com
Phil Ryan
Research Analyst, Office and Economy Research
+1 202 719 6295
Phil.Ryan@am.jll.com
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