2022 Q1 South Bay Office Research Report
- South Bay finished with over 500,000 SF of leasing activity in Q1, accounting for 14.7% of the Los Angeles total.
- The average asking rent continued to rise in South Bay, increasing by another 1.2% over the quarter, reaching $3.31 PSF per month.
- Rent growth was strong in South Bay submarkets beyond El Segundo & Beach Cities, such as 190th Street Corridor and LAX areas.
- Sublease availability reached a record high of 4% after DirecTV put nearly 300,000 SF on the market, downsizing its presence in El Segundo.
- While sublease availability remains elevated, the direct vacancy rate was relatively flat over the quarter at 20.9%.
- South Bay remains the only Los Angeles office market with leasing volume nearly back to pre-pandemic levels.