Rental Rates Continue to Climb as Vacancy Diminishes
The greater Los Angeles industrial market is the largest in the United States, totaling 1.68B SF. It has been characterized by some of the highest asking rents and lowest vacancy rates of any market in the nation. The Ports of Los Angeles and Long Beach are the primary industrial drivers and are responsible for roughly 40% of all inbound containers into the U.S. The Ports continue to work their way through the congestion of cargo ships that can be seen from much of the Southern California coastline. Container trade in 20-foot equivalent units (TEUs) is up 5.4% in Los Angeles and up 4.0% in Long Beach compared to the previous year.