Monthly Report | OFFICE SUBLEASE TRENDS October 2020

Sublease Trends — Seattle

Downtown Seattle poured on the initial wave of COVID-19 sublease space in Puget Key Takeaways Sound, and though space is down m/m very slightly (-0.1%), the faucet turned back on in early September as it’s up substantially over Q2 (30%) and from pre-pandemic » 1.04M SF added since Q1 ’20, a 47% increase levels (47%). The 3.2M SF of sublease space currently on the market represents » Average term remaining (months): 43.4 a 15-year high, both in terms of % of inventory on the market and in total SF. The » Average days on market: 144.4 Pioneer Square submarket has shouldered most of downtown’s recent growth in space, jumping 120% in two months from 206K SF to 454K SF available, or from » 4 spaces larger than 100K SF, 2 larger than 3.1% to 6.8% of inventory available for sublet. 186K SF space 200K SF (37% of total SF) accounts for most of that number. The CBD lost or absorbed 73K SF of space m/m, » 120% increase (250K SF) in Pioneer Sq/ however from August to September it also jumped 214K SF, netting a 7.4% jump in Waterfront, 186K SF due to Big Fish Games the past two months. Belltown, Lake Union, and Ballard/U Dist. have held relatively sublease firm over the past few months.

30 Days or Less on the Market Between 30 and 90 Days on the Market 90 Days or More on the Market

Property Submarket Size Property Submarket Size Property Submarket Size

906 Alaskan Pioneer Sq/ 186,000 Seattle CBD 70,276 Rainier Square Seattle CBD 591,907 Way Waterfront Second & Queen Anne/ 2701 Eastlake Lake Union 34,830 Seattle CBD 32,606 Elliott West 298,962 Seneca Magnolia Belltown/Denny Queen Anne/ 19,072 28,225 Seattle CBD 122,258 2607 Bldg Regrade 3131 Elliott Magnolia 2 + U Madison 999 Third Seattle CBD 10,160 Seattle CBD 22,189 Safeco Plaza Seattle CBD 92,641 Centre One Seattle CBD 21,063 Met Park East Seattle CBD 80,248 Convention Fourth & Met Park West Seattle CBD 20,028 Seattle CBD 76,268 Madison Belltown/Denny Pioneer Sq/ Fourth & 17,963 111 South 70,599 Battery Regrade Jackson Waterfront

Exchange Seattle CBD 16,964 Columbia Seattle CBD 53,656 Building Center Pioneer Sq/ Pioneer Sq/ 12,791 49,222 619 Western Waterfront 83 King Waterfront

Decatur Seattle CBD 12,598 Madison Seattle CBD 45,001 Building Centre

*Data accurate as of 9/1/2020. Only includes 10 most notable sublease availabilities.

For more information: Jacob Pavlik, MRED Research Manager | Puget Sound & Portland Resources for up-to-date information +1 503 499 0093 Colliers Q3 2020 Office Market Report [email protected] Colliers September Pulse Report - Economic Indicators

Nich Carlsen Research Analyst | Puget Sound In the midst of the COVID-19 outbreak, information and data is emerging at a quick and uneven rate. The information contained +1 206 223 1440 herein has been obtained from sources deemed reliable at the time the report was written. While every reasonable effort has been made to ensure its accuracy, we cannot guarantee it. No responsibility is assumed for any inaccuracies. Readers are [email protected] encouraged to consult their professional advisors prior to acting on any of the material contained in this report. Monthly Report | Seattle OFFICE SUBLEASE TRENDS October 2020

Average Days on Market by Submarket % of Total Sublease Availability by Size Block (submarkets with >5% market share)

Percent Sublease Available — Seattle Percent Sublease Available — Eastside

CBD Pioneer Sq/Wtf Belltown Lake Union Ballard/U Dist.

SF Sublease Available — Seattle SF Sublease Available — Eastside

CBD Pioneer Sq/Wtf Belltown Lake Union Ballard/U Dist.