Q3 2022 Cumberland Galleria Office Submarket Report

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ATLANTA OFFICE REPORT

Cumberland/Galleria Submarket

Q3 2022

Second Consecutive Positive Quarter for Cumberland/Galleria

ABSORPTION AND VACANCY RATE

• The Cumberland/Galleria submarket saw positive absorption of 83,521 square feet in Q3 of 2022. Year-to-date, the submarket has seen positive absorption of 267,238 square feet. Notable move-ins included the Georgia Division of Family & Children Services taking 48,000 square feet at 1090 Northchase Pky and Soliant occupying 22,969 square feet at Galleria 200.

300,000

23%

200,000

22% 21%

100,000

20%

0

19% ‐100,000

• Cumberland/Galleria’s vacancy rate fell 30 basis points (0.3%) in Q3, and has fallen 150 basis points (1.5%) since Q1 of this year.

‐200,000

• Class A rents have been mostly stagnant in Cumberland/Galleria over the past three years, having risen just 1.3% since Q4 of 2019.

‐400,000

18% 17%

‐300,000

16%

Q1 2021

Q3 2022

Q1 2022

Absorption

Q3 2022

Vacancy Rate

15%

Source: CoStar

Total Inventory SF

Direct Vacancy Rate

Sublease Vacancy Rate

Total Vacant SF

Vac Rate Q3 ‘22

Vac Rate Q2 ‘22

Net Absorp Q3 ‘22

Net Absorp YTD

Deliveries YTD

Under Constr

Avg Rent (FSG)

Class A

14,221,072

19.5%

0.9%

2,904,805

20.4%

20.7%

42,602

184,772

-

-

$30.12

CL/GA

Class B

7,434,622

17.0%

0.5%

1,299,800

17.5%

18.1%

45,042

103,807

-

-

$21.98

Class C

686,494

7.3%

0.0%

50,230

7.3%

6.7%

(4,123)

(21,341)

-

-

$18.76

Total

22,342,188

18.3%

0.7%

4,254,835

19.0%

19.4%

83,521

267,238

-

-

$27.58

TOP CUMBERLAND/GALLERIA LEASES Q3 2022 Tenant

Property

Landlord

SF

Lease Type

Northcreek 100

GEM Realty Capital

51,042

New Lease

Wildwood Center

Vision Properties

23,681

New Lease

Parkway One

The Simpson Organization

20,985

New Lease

RiverEdge One

Coro Realty Advisors

16,798

Renewal

Cleveland Electric Company EyeQ Monitoring The Conlon Company Crown & Caliber

Lincoln Property Company Atlanta tracks Class A, B, and C office buildings that are 10,000 square feet or greater, and excludes owner occupied, medical, and government buildings.

Lincoln Northwest Atlanta Listings

Barrett Summit

Chastain Center

Cobb Corporate Center

Chastain Meadows

3400 Overton

The Gold Building

1990 Vaughn Rd

60 Chastain Center Blvd

350, 375, 400, 425 & 450 Franklin Rd

222, 3330 & 3380 Chastain Meadows Pky

3400 Overton Park Dr

1945 The Exchange SE

10,000 SF - 180,000 SF

3,000 SF - 11,000 SF

7,000 SF - 15,000 SF

10,000 SF - 43,831 SF

100% Leased

2,051 SF

Seabie Hickson / Matt Fergus

Michael Howell / Matt Fergus

Matt Fergus / Hunter Henritze / Seabie Hickson

Michael Howell / Caroline Fisher / Robert deGollian

Michael Howell / Hunter Henritze / Caroline Fisher

Matt Fergus / Hunter Henritze / Robert deGolian

Spencer Papciak

Research Manager

678.498.7676

spapciak@lpc.com

lpcsoutheast.com

The information contained herein has been obtained from the owner of the property or from a source deemed reliable. While Lincoln Property Company has no reason to doubt its accuracy, we do not guarantee it.


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