IE Business Daily Business news for the Inland Empire.
The Inland Empire industrial market cooled slightly during the first quarter, as vacancies rose and lease rates declined, according to data released today.
The vacancy was 2.1 percent, still low but an increase of 74 basis points from the fourth quarter of 2022, Voit Real Estate Services reported.
Lease rates averaged $1.47 per square foot during the first quarter, a four-cent drop from the previous quarter but something not seen in the Inland region “for many years,” the report states.
Year-over-year, the leasing news was much better: an increase of more than 65 percent, mostly the result of logistics companies taking new space that was available at premium rates.
Sales and lease transactions totaled 10.2 million square feet, down slightly from last year’s fourth quarter but a 17.7 drop from one year earlier.
Net absorption was also positive: three million square feet, up from 2.1 million square feet during the previous quarter, according to Voit.
