Market Snapshot of the Los Angeles Industrial Market
Vacancy in the Los Angeles Market averaged 5.7% in Q2 2012. Vacancy levels have increased notably from the start of the recession in late 2007 but have shown an improving trend in the overall market since 2011. The average asking industrial rent in the Los Angeles Market was $0.55 per square foot (PSF) per month during the most recent quarter (Q2 2012). This reflects no change from the previous quarter and is a nominal improvement from 2011. As of the most recent quarter, CoStar reports 1,921,647 SF of construction underway in the market. Absorption levels declined significantly in the market following the start of the recession at the end of 2007. Absorption trends after the start of the recessions generally mirror trends in vacancy, with significant negative figures posted from 2008 to 2009 and an improving trend in later periods.