H1 2025
Trophy office buildings in Dallas, Houston, and Austin continue to outperform despite sector headwinds thanks to Texas’ nation-leading population and job growth and a sustained trend of ‘flight to quality’.
Cushman & Wakefield is pleased to present its inaugural Texas Trophy Office Market Snapshot, highlighting key themes and trends of trophy office across the state.
Key takeaways of the H1 2025 report include:
- Trophy buildings are leading the office recovery: over the last five years, trophy office has experienced positive 8.8 million square feet (msf) of direct net absorption, while the rest of the Class A market has experienced negative 9.0 msf of net absorption.
- Stabilized vacancy is significantly tighter: Excluding new construction, stabilized vacancy in trophy buildings is just 7.0%, underscoring the high levels of demand for trophy space despite dwindling pipelines.
- Trophy status is not just for new developments: Legacy properties, or those built before 2010, are able to remain competitive with strategic investments in building amenities.
- Trophy office is now a suburban phenomenon too: Over the last cycle, trophy office has also been developed in suburbs due to labor migration and new walkable mixed-use developments.
