Oct 5, 2020 | Dallas Morning News
Uber Technologies' recent move to put more than 115,000 square feet of its Deep Ellum offices on the market is part of a trend.
The California-based ride-hailing company had planned to occupy the more than four floors of offices, but they are now sitting empty.
With the pandemic and recession, dozens of companies around North Texas are finding themselves awash with surplus office space.
And with almost 60% of local office employees still working at home, it’s easy to see that businesses have more office space than they need.
“We are just under 8 million square feet of active sublease office space in the D-FW markets,” said Andrew Matheny, a research manager for commercial real estate firm Transwestern. “It’s a historic level in terms of gross square footage.”
The amount of surplus sublease office on the market is significantly greater than the 5 million square feet or so under construction.
Matheny has been tracking the North Texas sublease office market since earlier this year when the COVID-19 lockdown sent office workers home and caused a slowdown in building leases.
“Right at the end of June, it started rising sharply,” he said. “We had about 1.3 million square feet listed in August alone.”
Matheny said that while the flood of excess office space coming up for lease has slowed recently, the numbers are still big.