Inland Empire Industrial Market
The West is outperforming the East, based on recent leasing activity, net absorption gains and drops in sublet availability. Lower drayage costs relative to the eastern reaches of the market, proximity to the consumer populations of Los Angeles and Orange Counties and rent decreases are factors. West new leasing activity totaled 15.7 MSF in the first half of 2024, up 46.3% from the same period in 2023 as 100,000+ SF facilities garnered more interest. East new leasing activity was 4.7 MSF, down 11.4%. Large move-ins by Amazon and Home Depot in the West caused net absorption to finish in the black this quarter, with 3.3 MSF in gains. Available sublease space fell to 16.7 MSF, down 2.0 MSF from last quarter. Space coming to term, a notable delisting and leasing activity are behind this.
Download Inland Empire Industrial Market Report 2Q24