U.S. Office Market Resets in 2025 as Deep Discounts Pull Investors Back In

After several bruising years defined by rising vacancies, declining values, and stalled deal flow, the office sector finally showed signs of life in 2025. Sharp price resets—some of the most significant in modern CRE history—opened the door for sidelined capital to re-engage, creating a measurable pickup in investor activity and hints that the market may…

CBRE’s midyear broker survey—drawing from over 200 industry professionals—suggests that cap rates may have reached their ceiling in early 2025, despite the turbulence in Treasury yields. Market metrics: The 10-year Treasury yield swung widely this year, starting at 4.79% in January, dipping to 4.01% by April, and ending midyear at 4.24%. Even with that volatility,…