Brendan Kelley is set to assume the role of market leader for global commercial real estate adviser Avison Young's Philadelphia office.
He will step into the position on Jan. 1, where he will drive the brokerage's growth initiatives, Avison Young said in a release Monday. Kelley will also continue to work in his areas of expertise, including capital markets, consulting and advisory services, and tenant and landlord representation.
Kelley said he's noticed signs of improvement in the Philadelphia region's office and industrial markets.
"We are seeing tremendous opportunities in both the [central business district] and suburban markets within both the office and industrial sectors," Kelley told CoStar News via email. "I think that the strain on the office market is starting to give way to both massive basis resets and reuses that will help the market enormously,"
Demand in Philadelphia's office market has begun to retract again as the year comes to a close, ending a short-lived recovery in the first part of 2025, according to CoStar's latest market report.
As for the Philadelphia industrial market, its overall vacancy rate increased from 8.9% in the second quarter to 9.4% at the end of the third quarter, according to an Avison Young report. Still, Kelley said, investors and occupiers appear ready to act.
"Although the industrial markets are softer from the COVID-era peaks, we are still seeing a ton of capital that needs to be deployed, and leasing activity is looking much stronger," he told CoStar.
Kelley transitions into the role held by David Fahey, who has led Avison Young's Philadelphia office since its inception 12 years ago. He will continue to work with the firm as an adviser.
Kelley, who has more than two decades of commercial real estate experience, joined Avison Young in 2023 as a principal.