King of Prussia’s commercial real estate market kicked off 2025 with a strong performance across all sectors. Class A office vacancy held steady at 9.5%, marking the seventh consecutive quarter below 10%, with 4.4M SF across 45 properties. Class B office vacancy increased slightly to 12.6%, while Class C office vacancy remained consistent at 9.8%. Overall, the combined office vacancy rate stood at 10.6% for leasable office spaces over 10K SF. The overall office vacancy rate, which includes owner-occupied spaces but excludes properties smaller than 2K SF, decreased to 9.2%, encompassing 8.0M SF across 161 properties.

The industrial sector continued to be one of the strongest sectors, with a vacancy rate dropping to 2.5% across 6.7M SF, reflecting its stability in the market. The flex sector, following CoStar’s recent data correction, reported an 11.5% vacancy rate across 2.1M SF, highlighting the demand for properties that accommodate a mix of office, showroom and light industrial uses. Retail properties remained resilient, with a slight decline in vacancy to 2.2%, supported by a diverse mix of shopping, dining and entertainment options that kept consumer traffic high.

The medical sector experienced a vacancy rate increase to 11.8% across 495K SF. Meanwhile, the life sciences sector underwent a significant revision due to CoStar’s data correction, now tracking at 6.5% vacancy across 1.8M SF, solidifying the King of Prussia/Valley Forge submarket as a leading hub for life sciences with 2.8M SF.

King of Prussia’s commercial real estate continues to attract investment and new opportunities, reinforcing its position as a top-performing location in the Philadelphia region.

Qi Guo

Manager of Research & Data Analytics

King of Prussia District

*Note: CoStar recently corrected an error where a few buildings were mistakenly counted twice, inflating the total SF for properties in the office park. This correction led to significant changes in the reported vacancy rates, SF and property numbers of flex and life sciences sectors.

Spotlight

A Comparative Overview of Moore Park and Renaissance Park

Moore Park and Renaissance Park, two business parks within King of Prussia District, play crucial roles in the region’s economy.

Moore Park, with over 3.5M SF, offers a mixed-use development, featuring 40% office space and multifamily properties like Valley Forge Towers, Park Square and Skye 750. The remaining space is allocated to industrial, flex and hospitality uses. In contrast, Renaissance Park, spanning nearly 2M SF, focuses more on office (68%) and flex spaces (28%). Note that proposed developments within the park and nearby major facilities, such as GSK and Discovery Labs outside Renaissance Park's boundaries, are excluded from these figures.

Note: Proposed developments within Renaissance Park and nearby major facilities like GSK and Discovery Labs outside the park's boundaries are excluded from these figures.

Visitor patterns reflect the distinct structures of commercial uses in these two business parks. Moore Park’s mixed-use layout attracts a broad audience across residents, visitors and employees, with visits more evenly distributed throughout the week in 2024, according to Placer data. In contrast, Renaissance Park sees concentrated traffic from employees, with peak visits occurring from Tuesday to Thursday, a result of the hybrid work model after the pandemic.

Despite these differences in commercial structure and visitor patterns, each park offers distinct strategic advantages. Moore Park benefits businesses that thrive in a mixed-use environment, while Renaissance Park suits companies seeking focused office space with easy access for employees.

"Renaissance Park is ideal for businesses that do not depend on having an amenity rich environment around them,” said Eric Goldstein, President & CEO of King of Prussia District. “Warehouses, data centers and manufacturing facilities are some of the business types that would be better suited to a place like Renaissance Park."

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Featured Business

FamilyMatters

In November 2024, FamilyMatters purchased a 28K SF vacant office building at 2004 Renaissance Blvd. in King of Prussia for $2.8M. The property was previously owned by Dresher-based BET Investments.

FamilyMatters, a nonprofit organization specializing in case management and support services for families facing crises such as trauma, mental health challenges and substance abuse issues, is expanding its operations with this new location. As an expansion of JAFCO (Jewish Adoption and Family Care Options), which was founded in 1992 in South Florida, FamilyMatters began offering its intensive family-strengthening program in Greater Philadelphia in 2014.

According to Philadelphia Business Journal, the recently purchased building will serve as FamilyMatters' new headquarters, named The Linda & Don Brodie FamilyMatters Center. The center is expected to open in fall 2025 and will be the first site outside Florida to offer overnight respite for parents and caregivers of children with special needs.

We warmly welcome FamilyMatters to the community and look forward to its opening this year!

familymattersnetwork.org

Report Release

Five Key Takeaways from Our 2025 Report to the Community

We recently launched our 2025 Report to the Community, an interactive look at King of Prussia’s progress. As an organization focused on accelerating economic growth and enhancing quality of life in King of Prussia, we’re proud to share several highlights that reflect the strength and momentum of our community.



Not a complete listing. Retail leases submitted to King of Prussia District for Q1 2025 as of 4/3/25. All other sales and leasing info from CoStar.

King of Prussia District is a 501(c)3 that accelerates economic growth by making King of Prussia vibrant, attractive and prosperous. This mission and our core values –progressive, determined and fun – drive the work that we do every day across five programs. 

Learn more at visitkop.com

DISCLAIMER

All information obtained using CoStar Analytics and field checked for accuracy by King of Prussia District. Vacancy rates are calculated using existing, non-owner occupied commercial buildings in Upper Merion Township only, over 10,000 SF, Class A, B, and C plus retail, industrial and flex. King of Prussia District uses "Direct % Vacant Available" in its vacancy reporting. All industrial and flex statistics are NNN.

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