Law firms have more than doubled their share of the U.S. office space market since before the pandemic, according to a recent report from the global real estate services company Savills, which explored trends for firms leasing over 20,000 square feet.
Law firms leased 8.3 million square feet in office spaces with over 20,000 square feet through the third quarter of 2025, well above the six-year average and indicating a strong demand as many return to the office, according to the U.S. Law Firm Activity Report Q3 2025 report.
“Law firm leasing has climbed steadily from pre-pandemic levels, driven by demand for amenity-rich environments that promote collaboration, client interaction, and operational efficiency,” the report said.
The legal sector accounted for about 5% of all office space leasing in 2018/2019, as technology and other industries drove leases. After slowing but remaining relatively stable during the pandemic, legal sector leasing jumped to 8.8% of all office activity in 2023 and has grown to 10.5% of U.S. office leasing in 2025, Savills reported.
This is happening as many law firms issue return-to-office mandates, particularly Am Law 100 firms. In the last month, Cooley and Goodwin have joined a running list of firms requiring increased in-office attendance, many opting for four in-person days per week.
Increased innovation, the opportunity for in-person mentoring, and a boost in corporate culture and morale are things law firms are citing when bringing employees back.
“When the work changes fast, learning from each other — watching, asking and iterating together — helps us adapt and stay ahead. When these connections happen, it is because we are truly present,” Goodwin’s Managing Partner Mark Bettencourt and Chief Operating Officer Mary O’Carroll wrote in a memo to U.S. employees, as reported by Law.com. “And so, we are going to double down on the power of presence.”
Recent high-profile leases in the U.S. include two in Chicago. Ropes & Gray expanded its Chicago office space on Wacker Drive by 33% and Arentfox Schiff leased 75,000 square feet in the Willis Tower, decreasing its office size but opting for a longer-term lease.
Firms opting to stay vs. relocate
In addition to occupying a higher percentage of office space leases in the U.S., slightly more law firms (53.9%) are opting to renew their leases than to relocate (46.1%), stabilizing after 66.1% of law firm leases were for relocations or new leases amid post-pandemic planning in 2022.
Law firms expanding their space in the third quarter of 2025 are outpacing those that are downsizing (37.3% vs. 32.4%), indicating a measured return to growth and increased expansion from the same time last year.
Savills noted that lease terms are steadying across the country, too, with many firms opting for longer leases. This can be seen in markets including Boston, Houston, and San Francisco, but not across the board. In Chicago, New York, and Washington, D.C., Savills reports lease terms are flattening or falling.
In Chicago, firms opting for longer lease terms ticked up from a low of around eight years in mid-2020, hitting a high of 11 years in the first half of 2024 and trending downward since.
To read Savills’s full report, click here.
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