Nashville, Tennessee, August 19, 2025
News Summary
Nashville, Tennessee has reported a notable decline in excess available sublease office space, indicating a potential recovery in its commercial real estate market. After peaking at nearly 2.9 million square feet in late 2022, the availability has fallen to 2.4 million square feet by mid-2025. Oracle’s expansion within the city, including a new 60,000 square foot sublease, is among the key factors driving this trend. Despite some construction delays, Nashville continues to solidify its status as a top North American office market.
Nashville, Tennessee has reported a significant decline in excess available sublease office space, signaling potential recovery in its commercial real estate market. The sublease office space peaked at nearly 2.9 million square feet, or 19.3% of overall office availability, in the fourth quarter of 2022 but has since dropped to 2.4 million square feet, accounting for 15.2% of overall availability by mid-2025.
Key drivers of this shift include the expansion of tech giant Oracle within the city, which has recently maxed out its office lease. As part of its growth strategy, Oracle subleased 60,000 square feet across two full floors at the Capitol View office building located at 500 11th Ave North from HealthStream. The HealthStream company is downsizing to approximately 30,000 square feet within the same building, reflecting a shift toward a hybrid work model.
The Capitol View building, which encompasses a total of 300,000 square feet, is owned by Memphis-based Boyle Investment Company. In addition to its new sublease, Oracle occupies about 150,000 square feet in the adjacent Radius Building at 601 11th Ave North, where it has steadily increased its presence. Recent additions include a full floor in July and an additional 16,000 square feet earlier in the year, bringing Oracle’s total office footprint in Nashville to over 200,000 square feet.
Surrounding Oracle’s expansion are several notable tenants in the Capitol View building, including the Nashville Area Chamber of Commerce and CoStar Group, which recently leased 34,000 square feet. Despite Oracle’s expansion, construction on its long-awaited East Bank campus—projected at $1.35 billion and regarded as the largest economic development deal in Tennessee history—has experienced delays. The anticipated campus aims to house 8,500 workers by 2031, although a concrete start date remains to be announced.
According to state records, Oracle had approximately 700 employees in Nashville by the end of 2023. The East Bank campus is set to occupy 70 acres, which Oracle acquired for $277 million. Nashville’s tech sector’s ongoing investment has solidified its status as a leading North American office market, achieving net absorption with a 2.3% increase in demand from the third quarter of 2023 compared to the second quarter of the previous year.
In conclusion, as Nashville navigates the transition from record-high sublease office availability to a more stabilized market, the growth of companies like Oracle demonstrates the city’s resilience and appeal in attracting significant investment and talent.
FAQ
What has happened to Nashville’s sublease office space availability?
Nashville has experienced a decline in excess available sublease office space, dropping from a peak of nearly 2.9 million square feet (19.3% of overall availability) in Q4 2022 to 2.4 million square feet (15.2% of overall availability) by mid-2025.
Which company is expanding in Nashville and what are its plans?
Oracle is expanding its footprint in Nashville, recently subleasing 60,000 square feet at Capitol View. The company has also maxed out its office space at the Radius Building, where it occupies about 150,000 square feet, increasing its total office presence in the city to over 200,000 square feet.
What are the future plans for Oracle’s East Bank campus?
Oracle’s planned East Bank campus, considered the largest economic development deal in Tennessee, is projected to cost $1.35 billion and aims to employ 8,500 individuals by 2031. However, construction has stalled and no start date has been announced.
| Key Features | Details |
|---|---|
| Sublease Office Space Peak (Q4 2022) | 2.9 million sq ft (19.3% of availability) |
| Current Sublease Office Space (Mid 2025) | 2.4 million sq ft (15.2% of availability) |
| Oracle’s Sublease Space | 60,000 sq ft at Capitol View, 150,000 sq ft at Radius Building |
| Total Office Footprint of Oracle | Over 200,000 sq ft |
| East Bank Campus Cost | $1.35 billion |
| Expected Employees by 2031 | 8,500 |
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Additional Resources
- CoStar: Nashville’s Available Office Space
- Wikipedia: Nashville
- Nashville Post: Asurion Subleases Office Space
- Google Search: Nashville office space
- The Real Deal: Oracle Subleases Two Floors
- Google Scholar: Nashville commercial real estate
- CoStar: Nashville Office Availability
- Encyclopedia Britannica: Nashville
- Tennessean: Nashville Offices Sit Empty
- Google News: Nashville real estate
Author: HERE Nashville
The NASHVILLE STAFF WRITER represents the experienced team at HERENashville.com, your go-to source for actionable local news and information in Nashville, Davidson County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as CMA Fest, Bonnaroo Music & Arts Festival, and Nashville Pride Festival. Our coverage extends to key organizations like the Nashville Area Chamber of Commerce and Nashville Health Care Council, plus leading businesses in healthcare, automotive, and technology that power the local economy such as HCA Healthcare, Bridgestone Americas, and Asurion. As part of the broader HERE network, including HEREBristol.com, HEREChattanooga.com, HEREKnoxville.com, and HEREMemphis.com, we provide comprehensive, credible insights into Tennessee's dynamic landscape.
