Vacancy Is Easing, But Hybrid Work Stays Uneven
Nikolaos Grammatikos
Vacancy is easing, but local markets and hybrid patterns are still uneven. Here is how to tune desk supply and operations.
I keep seeing the same movie.
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This is not Limitless.
It is the sequel where the office comes back, but the plot holes are everywhere.
On paper, the office market is stabilizing. In real life, the office experience is getting messier.
And the mess is not vibes, not CEO intuition, not a random LinkedIn thread. It is math.
On January 23, 2026, Yardi Matrix reported national office vacancy at 18.4% in December 2025, down 140 basis points year over year, with listing rates at $32.86 per square foot and a pipeline of 30.9 million square feet. On January 20, 2026, CommercialCafe reported the same 18.4% national vacancy at year end 2025 and a similar pipeline size, also noting that vacancy had started slipping from the 2025 peak. On January 20, 2026, CBRE said Q4 2025 leasing hit 60.2 million square feet, with 225 million leased for the year, near 2019 levels, and that the construction pipeline fell to 14 million square feet. And on February 6, 2026, CoStar projected its headline office vacancy rate holding near 14.1% through the end of 2026 before drifting down.
So yes, there is life in the market.
But none of that fixes the biggest daily pain point.
Tuesday rolls around and half the company shows up with nowhere to sit.
I have seen this exact scenario too many times to count.
Teams walk in at 10:12 a.m. and start the office scavenger hunt. Sales is camped in a huddle room. Product has two people sharing a monitor. Someone tries to take a call from a stairwell because every phone booth is full.
Okay.
Why does this keep happening if the market is improving?
Because hybrid is not a weekly average problem. It is a peak day problem.
And peak days got worse once office portfolios got leaner and floor plans got more open.
The market data tells us the macro story. Leasing is back. Vacancy is easing. Construction is muted.
But the micro story inside your four walls is different.
Let me say it directly.
Most companies are sizing their space to a monthly or annual average headcount, not the Tuesday and Thursday spikes. Then they layer in unassigned seating. Then they ignore how open-plan layouts actually perform when the room is full.
And it gets worse.
The science has been warning us about this for years.
In a 2018 field study published in Philosophical Transactions of the Royal Society B, Bernstein and Turban tracked offices before and after they removed walls. They found face to face interaction dropped dramatically, while email and instant messaging went up. So when the office is packed, people do not magically collaborate more. They retreat.
In a 2013 Journal of Environmental Psychology paper, Kim and de Dear used a large occupant survey database and found that private offices outperformed open plan setups on most environmental quality measures, especially acoustics and privacy. The benefits of ease of interaction were smaller than the penalties from noise and privacy loss.
And in a 2002 longitudinal study by Brennan, Chugh, and Kline, employees moved from traditional offices to open offices. Satisfaction fell after the move and stayed lower even six months later.
So when you densify a space and declare it a collaboration hub, you are fighting physics, not just culture.
That is why the Tuesday crush is so brutal. You have the highest occupancy on the worst layout for focused work, privacy, and team routines.
It is the worst of both worlds.
Now let me connect this to Deskify.
Desk booking is not just a scheduling tool. It is the difference between a good day and a chaotic day.
Here is the playbook I keep repeating to teams.
First, stop planning for averages. If your office is designed for 60% and you see 90% on Tuesdays, you have a capacity problem every single week. You need a visible, enforceable booking system that reflects reality.
Second, treat space like inventory. On peak days, a desk is not a vibe. It is a resource with a real cost. If people do not reserve it, you cannot allocate it. If you cannot allocate it, you cannot support it.
Third, add zoning. Open plan does not mean open chaos. You need quiet areas, collaboration zones, and phone zones with rules that actually get used. Booking should make that real.
Fourth, build a habit loop. If people show up, fail to find space, and go home, you lose trust. If they book once and it works, they repeat. This is not complicated.
Fifth, report the truth. Show leadership the peak day utilization, not the weekly average. Show them the denial rate for desks and rooms. Show them how often employees cannot sit with their team. This is not a feel good dashboard. It is a risk dashboard.
I am not anti office. I am anti magical thinking.
And I am seeing too many teams make office decisions on stale assumptions from 2019.
The market may be healing. The experience inside the office is not.
The fix is boring and effective. Measure the peaks. Design for them. Use desk booking like an operational system, not a nice to have.
If you do that, Tuesday stops being a fire drill. It becomes a real reason to show up.
Sources
Nikolaos Grammatikos
Vacancy is easing, but local markets and hybrid patterns are still uneven. Here is how to tune desk supply and operations.
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