A great 2015 was made even better in the final quarter as Greater Boston finished the year on a high note with direct average asking rents topping the previous peak at $34.04 and total vacancy rate dipping to 13.8 percent, its lowest point since 2007.
The year ended with a flurry of leasing activity closing nearly 3.5 million square feet in transactions in the fourth quarter, up nearly 15 percent quarter-over-quarter and triple the volume of the snowy first quarter. Boston’s Downtown and Rt. 128/Mass Pike submarkets were the most active, each closing nearly 1 million square feet in leases over 20,000 square feet.
To top it off, Boston’s job growth continued to outperform both the state and the nation, driven largely by knowledge-intensive industries such as high-tech and life sciences. Forecasts through 2020 remain optimistic with steady growth expected to continue for the next several years, keeping the regional unemployment rate below 5% through 2020.