Houston, TX Market Report

Houston's headline 15% medical office vacancy rate masks a more nuanced story — the market absorbed over 900,000 square feet last year, and single-story buildings sit at a much tighter 10.9% versus 19.8% for multi-story. With rents softening slightly and new construction slowing to just 424,000 square feet, healthcare providers have a rare window to negotiate favorable terms before the supply gap closes.