Despite Some Losses, Montgomery County Office Market Records Good First Quarter

Despite some losses, the Montgomery County office market has recorded a good first quarter with new leases from both growing companies and new tenants. Image via Montgomery County Community College.

Despite some losses, Montgomery County office market has recorded a good first quarter with gains from new leases for both growing companies expanding their existing space and new tenants, writes Natalie Kostelni for the Philadelphia Business Journal.

The gains include PayPal signing up for 99,500 square feet in Plymouth Meeting, Sofidel moving into 22,000 square feet in Horsham, and Americredit leasing more than 15,000 square feet, also in Horsham.

In addition, Vetex increased its headquarters in King of Prussia by 15,000 square feet.

Among the losses, Hibu/Yellow Book downsized its King of Prussia Space by 60,000 square feet and Teva Pharmaceuticals vacated a 120,290-square-foot building in Horsham.

The movements recorded in Montgomery County are in line with the rest of the Philadelphia suburbs. There overall occupancy “grew at a faster pace during Q1 2020 than it had in all of 2019 by more than 60,000 square feet,” according to CBRE’s first-quarter report.

Still, the first quarter data does not reveal how the coronavirus has affected the suburban office market as stay-at-home orders were not issues until mid-March.

Read more about the local office market at the Philadelphia Business Journal by clicking here.