Demand & New Construction Drive Rent Growth
The San Joaquin County industrial market direct vacancy rate increased slightly mid-year 2020 by 60 basis points to 6.5 percent, with the overall vacancy rate equal to 7.2 percent. Activity throughout the county during the COVID-19 pandemic has remained fairly strong with only a very brief pause in activity. Available sublet space accounted for 0.7 percent of the overall vacancy rate, with 875,911 square feet available. Total net absorption for San Joaquin County during the second quarter equaled 1.4 million square feet, increasing the year-to-date net absorption to over 2.2 million square feet by the end of the first half of 2020. Eight industrial buildings were completed during the quarter adding a total of over 1.7 million square feet to the base inventory. Additionally, just over4.3 million square feet remains under construction throughout the county. The most notable industrial sale in the county was the sale of 155,945 square feet on Mariani Court for $136.78 per square foot, purchased by Nearon Enterprises of Walnut Creek, California. The overall weighted average asking rate for the county remained flat at $0.54 per square foot, triple net.
Would you like to have future reports delivered directly to your inbox? Sign-up to this and other regional e-mail delivery lists.