The U.S. office market showed signs of recovery with positive demand for the fourth consecutive quarter and vacancy falling to 19.9%. Class-A buildings dominate leasing, accounting for 49% of new leases despite being 34% of inventory, as tenants prefer newer, amenity-rich spaces. Secondary markets led absorption, while construction remains low. Rents rose slightly, but concessions are high. The market improves, but quality and location are crucial for success.