via Bloomberg's Lily Katz

Baird's David Rodgers turns cautious on office REITs after property tours in Atlanta, Los Angeles, D.C. and San Francisco. What he saw was "thinning demand," and "selective pockets of new construction," meaning the vacancy rate may have bottomed and rents plateaued.

Rodgers is incrementally negative on Hudson Pacific (HPP -2.7%), Kilroy Realty (KRC -2.1%), and Washington Real Estate (NYSE:WRE). His top idea in office space is Douglas Emmett (DEI -2.3%); in secondary office is Cousins Properties (CUZ -1.2%).

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