2022 Q2 Hollywood Mid-Wilshire Office Research Report
Hollywood/Mid-Wilshire posted the highest amount of net absorption in Q2 compared to any other major Los Angeles office market. It is one of the few markets with an overall vacancy rate lower than one year ago, down 20 basis points year over year. Studio demand remains high, and entertainment tenants looking for this product drives the occupancy growth in Hollywood where net absorption was positive 132,493 SF in Q2. While Hollywood vacancy continues to decline, recovery is sluggish in Mid-Wilshire where overall availability reached 30%, equating to nearly 2.9M SF for lease in this submarket. Landlords are still holding their rental rates in Mid-Wilshire, where the average is up 1.3% year over year. There are no major office projects under way in Hollywood/Mid-Wilshire, as the developments that were in the pipeline have completed. With new construction dampened, demand from media and entertainment tenants should decrease vacancy further in this office market.