Los Angeles Office Market
| Average Asking Rent (Price/SF/Mo) | $3.85 |
| Vacancy Rate (%) | 21.8% |
| Net Absorption (SF) | -1,507,095 |
Los Angeles is home to two CBDs, with Downtown Los Angeles (DTLA) and Century City both attracting professional, financial and legal services to high-rise office environments. Traditional occupiers have generally led the push in bringing employees back to the office and are arguably in a better position to make long-term real estate decisions. This segment is expected to shape overall leasing fundamentals this year as many tech firms, which were active in prior years, remain dormant as they contend with lower market capitalizations and cost-cutting initiatives. There has been a disparity in these two office markets, with tenant demand, safety issues and debt troubles shaping contrasting fundamentals.
Download Los Angeles Office Market Report 1Q23Los Angeles Industrial Market
| Average Asking Rent (Price/SF/Mo) | $1.77 |
| Vacancy Rate (%) | 1.5% |
| Net Absorption (SF) | -2,440,322 |
Available sublease space reached nearly 5.1 million square feet this quarter, up 114.1% from year-end 2019. The current total exceeds the market’s 10-year average of 4.3 million squarefeet but remains under the 20-year average of 5.7 million square feet.