Central Los Angels Market Conditions Continue To Tighten
The Central Los Angeles industrial market closed out the third quarter with 656,136 SF of positive net absorption. The overall vacancy rate decreased to 1.3% from 1.6% quarter over quarter and 200 basis points below its mark from one year ago. Central Los Angeles’ lack of availability in high clear and dock high loading facilities will continue to put upward pressure on rents, as tenants struggle to expand in the area. Industrial demand is heavily concentrated in the Vernon and Commerce submarkets, with food production and apparel manufacturing remaining the top industries.