The story in Charlotte’s office market today is a continuation of what began to take shape last year — only now, the activity behind it is real and measurable. The tenants that were cautiously exploring the market in 2024 have re-engaged, and many are now making decisions with greater clarity around their long-term space needs.
Leasing volume reflects that shift. Activity reached roughly 1.4 million square feet in the first quarter of 2026, a significant increase year-over-year, with the majority of deals driven by new leases and expansions. That’s been the biggest change over the past 12 months: groups that were once on the sidelines are now moving forward, and deal velocity is picking up across multiple industries.
At the same time, demand remains highly focused on quality. Class A buildings continue to capture most of the leasing activity, accounting for nearly 70 percent of total volume and leading overall absorption, which approached 400,000 square feet in first-quarter 2026. The best-performing assets in Uptown, Midtown and South Park are seeing steady occupancy gains, with rents at the top of the market pushing into the high-$50s per square foot.
That said, the conversation around quality is becoming more nuanced. While top-tier buildings are performing well, they are not the only option for tenants — particularly as available blocks of space in newer product become more limited.
Charlotte has largely worked through the lease-up of its latest wave of new construction, and the development pipeline remains measured. There are currently no new deliveries this year and only one project under construction, most of which is already preleased. As a result, tenants, especially larger users, are starting engagement earlier and evaluating a broader range of options to secure the right space and timing.
This is where the market is evolving. A number of well-located, older Uptown buildings — such as Charlotte Plaza, Fifth Third Center, 440 South Church and 550 South Caldwell — are seeing renewed interest. These properties offer immediate availability, strong locations and increasingly competitive amenity packages, making them a practical solution for tenants that need flexibility in the near term.
As development costs for new construction continue to rise, the gap between new product and existing inventory has widened. In response, owners of these competitive vintage assets are beginning to push rents upward, reflecting improved demand and the limited availability of large, contiguous blocks elsewhere in the market.
This segment is playing a more meaningful role in the current cycle, helping to accommodate tenant demand that cannot always be met at the very top of the market. We expect a noticeable share of upcoming absorption to land within this category.
At a broader level, Charlotte continues to benefit from steady population growth and a strong pipeline of corporate relocations and expansions. Recent announcements from companies including Scout Motors, Capital Group and SMBC are expected to generate more than 800,000 square feet of future leasing activity, further supporting long-term demand.
Submarket performance reflects these trends. Midtown has seen notable leasing momentum as newer developments stabilize, while Uptown remains the region’s core business district and South Park continues to attract large-block users. Additionally, the Airport and I-485 corridors are capturing demand from tenants prioritizing accessibility and value.
Looking ahead, the fundamentals supporting Charlotte’s office market remain firmly in place. Demand is more consistent, supply is more disciplined and tenants are making decisions with a longer-term view of how their space supports their business.
The result is a market that is becoming more balanced and more deliberate. Tenants have options, but timing and building selection are increasingly important. For landlords, well-positioned assets, across both new and existing inventory, are better equipped to capture this next wave of demand.
— By Joe Franco, senior vice president, office investor leasing lead, CBRE. This article was originally published in the June 2026 issue of Southeast Real Estate Business.