I
n July, office visits in Boston surged to approximately 69.5 percent of their pre-pandemic levels, according to Placer.ai, a company that tracks foot traffic via cell phones across roughly 1,000 office buildings around the country, particularly those with ground-floor retail offerings. This represents a significant increase compared to previous months and indicates a positive trend towards recovery in the commercial market.

    Boston's performance was not an outlier, as the national average also saw a slight increase in office visits during July, reaching 72.2 percent of July 2019 levels. The city ranked above other major cities such as Chicago and San Francisco among the 11 cities tracked by Placer.ai.

    However, Boston office landlords may find this news bittersweet, as improving occupancy rates only tell part of the story. High vacancy rates and the outsized importance of commercial property in city tax revenue have raised concerns about an "urban doom loop."

    Furthermore, office building values have been plummeting in recent years, with a notable example being an office building in Boston's financial district that sold for $3.9 million, a staggering 72 percent below its value just five years earlier.

    In conclusion, while there are signs of recovery in Boston's office market, the city is still grappling with significant challenges related to vacancy rates, tax revenue, and declining property values.