A higher absorption rate over a period generally indicates stronger demand and supports which leasing action?

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Multiple Choice

A higher absorption rate over a period generally indicates stronger demand and supports which leasing action?

Explanation:
A higher absorption rate means more space is being leased than is becoming vacant, signaling stronger demand and a tighter market. In such conditions, landlords can command higher rents because there’s competition for limited available space. So increasing rents aligns with the observed demand. Decreasing rents would not reflect a tight market, stopping marketing ignores the strong demand, and increasing vacancy would worsen the supply-demand balance.

A higher absorption rate means more space is being leased than is becoming vacant, signaling stronger demand and a tighter market. In such conditions, landlords can command higher rents because there’s competition for limited available space. So increasing rents aligns with the observed demand. Decreasing rents would not reflect a tight market, stopping marketing ignores the strong demand, and increasing vacancy would worsen the supply-demand balance.

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