A sharp divide is emerging in the U.S. office market: companies are shedding secondary space while doubling down on premium buildings in central business districts, underscoring a renewed willingness to pay for workplaces that can justify the commute.
That’s the central finding of a new report from CBRE, which analyzed the 100 largest office leases signed in 2025. The data show a decisive tilt toward downtown towers and top-tier properties, even as overall office demand remains uneven.
More than half of those marquee deals — 54 out of 100 — were signed in downtown locations, accounting for roughly 59% of total square footage. Leasing activity for large blocks of space, defined as 100,000 square feet or more, climbed 19% in urban cores compared with the broader market, suggesting that central business districts are regaining strategic importance for major occupiers.
The preference is even more pronounced at the top end of the quality spectrum. So-called “prime” buildings — the most sought-after assets in any given market — captured 18% of leasing volume among the largest deals despite representing just 8% of total U.S. inventory. Class A properties absorbed another 61%, indicating that demand is cascading into slightly lower tiers as premier space becomes scarce.
The shift reflects a recalibration of workplace strategy after years of contraction. Companies that downsized footprints earlier in the decade are now encountering capacity constraints, particularly in high-performing offices designed to support collaboration. At the same time, employers are placing greater emphasis on amenities, location, and design as tools to draw workers back in person.
That change in posture is showing up in deal structure. Expansions accounted for the majority of activity among the largest leases, representing 55% of the 28.1 million square feet tracked. By count, half of the top 100 deals involved tenants growing their existing footprint, up from 44 such transactions a year earlier.
Relocations are also on the rise, making up 31% of total leased space, a notable increase from 2024. About one-quarter of those moves were into prime buildings, reinforcing what brokers describe as a “flight to quality” that continues to reshape the market.
Behind both trends is a gradual return of corporate confidence. After a prolonged period of short-term renewals and defensive leasing, many firms now appear more willing to commit to long-term space needs, particularly in buildings that align with hybrid work models.
Sector dynamics are also shifting. Financial services firms led all industries in 2025, accounting for nearly a third of the largest leases — more than doubling their share from the prior year. Technology companies followed closely, though their share of activity edged lower. No other sector reached double-digit participation, highlighting how concentrated demand has become among a handful of industries.
Geographically, New York City’s Manhattan market retained the top position, buoyed by large tenants moving early to secure limited blocks of high-end space. Silicon Valley climbed to second place, while Tampa broke into the top 10 markets for the first time since tracking began.
Both Manhattan and Silicon Valley increased their share of total leased space among the top deals, each gaining about three percentage points. The gains reflect the industries driving demand: finance in New York and technology in the Bay Area.
Taken together, the data point to a market that is no longer defined simply by contraction, but by selectivity. Companies are leasing less space overall — but when they do sign, they are choosing offices that offer location, experience, and scale, effectively concentrating demand into a narrower slice of the market.
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