OC Industrial Rents Outpace L.A.

Chris Jackson

The Orange County market has the highest industrial rents in the Southern California market. According to research from NAI Capital, Orange County industrial rents are $0.88, slightly higher than the rents in Los Angeles. Although Orange County has higher rents, Los Angeles is seeing the most rent growth. The same report shows that Los Angeles rents grew 7.3% last year, while Orange County industrial rents are up 6%.

“Over the last four or five years, the industrial asking rates have been higher in Orange County,” Chris Jackson, executive managing director at NAI Capital, tells GlobeSt.com. “There has been a lot more tech-type companies moving into the market and using industrial-flex space with more office requirements. There are also smaller industrial sizes in Orange County, compared to Los Angeles. Smaller units translates to a higher cost per square foot.”