MARKET TRENDS
- Vacancy increased by 50 basis points (bps) in the first quarter to 7.9%. The Orange County industrial market returned to negative absorption, totaling -235,393 square feet (sf). The Airport Area led negative absorption totaling -432,023 sf.
- There are 1.6 million square feet (msf) currently under construction, with 483,700 sf delivered in Q2. Industrial inventory continues to grow as office properties are redeveloped for industrial use.
- As vacancy declines, asking rents fell to $1.61 NNN in Q2, down 5.7% from the previous quarter and 9.0% year over year.