Industrial rental rates are trending upward in Los Angeles County

After years of low industrial rental rates, I am seeing increases in asking rents of 20% in the last few months. Spaces that would come on the market at $0.80 or even $0.70 are now being marketed for $0.95 to $1.00 a square foot. Even spaces and buildings in not so desirable areas. A clean building with no major upgrades needed is in much demand right now.

You can thank or blame the creative office movement for causing rent increase pressure.
The preference for Industrial spaces to build out for tech and production companies has caused a shortage of low rent industrial spaces. Add in the lack of new construction and you have landlords smiling all the way to the bank.

Look for more developers to remove old industrial buildings and build new shiny flex spaces and creative offices.

There are still bargains out there, but landlords smell blood in the water, and are anxious to recoup years of lower than historic rental rates.

If you know of anybody who needs help finding space for a brewery in the Los Angeles or Orange County, please let me know.
mikelanz81@gmail.com     626 826 5586