Downtown Offices and Corporate Moves

In cooperation with the Center for Real Estate at PSU and local brokerage firms, who used their networks to get responses, Dr. Freybote conducted a study. In total, 226 individuals responded of which 30% were office brokers and 70% were individuals at corporations renting office space (corporate users).

The results of this survey were presented at a meeting of the local Corenet Global chapter in March 2023. The key takeaways were:

• 28% of surveyed corporate users recently moved and 38% are considering/actively planning to move.
• Majority of realized and planned moves were/are out of Downtown Portland.
• Preferred submarkets are outside Multnomah county and the City of Portland.
• Primary considerations for the moves out of Downtown are related to:
  1. Employee and customer concerns and preferences
  2. Taxes
  3. Lack of political leadership, law enforcement and business-friendly climate
  4. Reduction in amenities and businesses in Downtown
• Primary considerations for moves into Downtown are related to:
  1. Commitment and support for the city
  2. Recruitment considerations
  3. Proximity to governmental offices and courthouse
  4. Tenants' market
• Commitment to and support Downtown is more important as motivation for recent moves then planned ones.
• Majority of recent moves (63%) didn't involve downsizing. If recent move involved downsizing, it was by 30% or more.
• Future moves considering downsizing plan on reducing SF by 20% or more.
• Brokers are seeing majority of moves (50% or more) that involved downsizing, it was by 20% or more.

If you would like a copy of Dr. Freybote's presentation, please contact her at: freybote@pdx.edu .