Has the Office Vacancy Rate Become Irrelevant?

The U.S. office vacancy rate has not broken through the 13% barrier for 14 years since the end of the great oversupply build-up of the late 1980s and early 1990s. Even now after 15 months of the most severe recession since the 1930s, the U.S. office vacancy rate still hovers manageably below 12.5%.

In its First Quarter 2009 Office Review delivered this week, CoStar Group asked the question: "What's wrong with this picture?"[...more...]