Midwestern Markets
Chicago YTD Office Sales Approach $1.3 Billion
The top Midwestern U.S. office markets we looked at for this report remained some of the most affordable in the country in August, both in terms of average listing rate and for-sale price per square foot.
In this region, asking rates for Detroit office space(opens in new tab) were the most accessible with rates here averaging $20.85 per square foot. Next, the average asking rate for office space in Minneapolis(opens in new tab); St. Paul, Minn.; and the wider Twin Cities metro submarkets rested at $27.35 per square foot. At the same time, office vacancy in the Minnesota metro was the closest to the national average among the top Midwestern markets we analyzed.
Unsurprisingly, Chicago office space(opens in new tab) was the region’s priciest for leasing in August with asking rates here averaging $28.38 per square foot. That said, occupancy levels in the Illinois market last month kept vacancy above 19%, which was the highest in the region last month.
The highest regional office sales total so far this year was also in Chicago: By the end of August, the largest office market in the Midwest had seen nearly $1.3 billion worth of office space change hands since the beginning of the year. Then, at quite a distance, year-to-date office sales in Minnesota’s Twin Cities followed in second place with a total of $521 million through August 2026.
Yet, when looking at market expansion, development in the region remained quite slow last month with a combined total of 1.73 million square feet of office space under construction in August across the Midwestern U.S. markets we analyzed.
CommercialCafe’s August 2026 office report highlighted office market activity in Chicago, including more than $1.2 billion in year-to-date office sales, a 17.8% vacancy rate, and an average listing rate of $28.38 per square foot in July.
- Chicago recorded more than $1.2 billion in year-to-date office sales through July, which was the highest sales total among the Midwestern markets analyzed.
- The average office listing rate in Chicago was $28.38 per square foot in July.
- Chicago’s office vacancy rate stood at 17.8% in July, which was nearly on par with the national rate of 17.7%.
- Year-to-date office sales in Chicago reached $1.22 billion, while the average sale price was $89 per square foot.
- Chicago had 250,000 square feet of office space under construction in July.
