Inland Empire Industrial Market
The West continued to outperform the East in leasing activity during the fourth quarter, though leasing volume markedly declined across both submarkets. Leasing remains most pronounced within the 100,000- to 499,999-SF segment, which boasts higher availability and steeper rent declines relative to other size thresholds. Current lease term lengths are higher than the historical average as tenants lock in today’s more-occupier-favorable conditions. Vacancy dropped to 7.0% after 10 quarters of successive increases. Limited quarterly construction deliveries and healthy net absorption gains (4.1 MSF) led to the decline. Sublet availability was up a mere 1.7% relative to the previous quarter, as sublease signings were counterbalanced by new listings, including a 1.0 MSF listing by SHEIN.
Download Inland Empire Industrial Market Report 4Q24