A Strong Finish Brings the Valley Back to Life
- The vacancy rate fell 70 basis points to 1.0% this quarter, the same level as a year ago.
- Net absorption this quarter was positive 1,201,200 square feet, bringing the yearly total to 1,394,700 square feet.
- Asking rents bounced back, up $0.02 per square foot (PSF) triple net (NNN) to $0.87 PSF NNN.
- Market conditions for the San Gabriel Valley industrial market have snapped back to where they were prior to the government shutdown. The market has shrugged off the negative impacts of the first two quarters of 2020.
San Gabriel Valley Industrial Market
The San Gabriel Valley consists of 31 cities and 400 square miles, with more than 1.8 million residents. International trade, especially with Pacific Rim countries, will continue once the challenges of the pandemic soften.
The region still has an exceptionally low vacancy rate despite recent additions to the base. Tight market conditions are leading many tenants to consider purchasing their real estate.