Industrial Insights – July 2020 – LA/OC/IE

Market Reports

I spent the morning reviewing all the subleasing inventory for you. This is the part of the market that is growing right now. There is a 20% increase in the amount of sublease space within the last 90 days. This is natural for periods of time where there is a lot of change in the market.

Here is the latest Sublease availability across the LA / OC marketplace:

South Bay

LA Central

Mid Counties 

North Orange County

West Orange County

South Orange County

Airport Orange County

If you would like to dig into subleasing more, here is an article I wrote on subleasing to provide you with more insight.

WeWork X Industrial = CubeWork

Unless you are a broker you likely haven’t heard of these guys yet. But if you look at the market, you’ll see that they have quietly taken out leases on all of the larger Class B industrial buildings in So Cal. They put up 12′ partitions using pallet racking and then they offer any size space you need extra storage for. There are then common drive aisles for forklifts and pallet jacks and everyone shares the docks. Rates are usually $1.20 PSF Gross and they offer short term leases. This doesn’t work for everybody as some people’s products don’t lend themselves well to these solutions, but it works well for others that just have a few extra pallets that need a home for a while. Let me know if you have a need here and I’ll help you find that type of space that works for you.

New Listing

We have a new listing at 15220 Canary Ave, La Mirada. This property is 93,280 SF, leased through 12/31/20, and we can offer the property for sale ($169 PSF) or for lease ($0.89 GRS).

Next Steps

Do you have a reason to change your warehouse footprint? Need helping to understand what is going on out there? We’re happy to help create a path for you to execute your rightsizing plans. Look forward to working with you.

Thank you!

Justin Smith SIOR
Senior Vice President / Principal
Lee & Associates / Irvine
D  949.790.3151
C  949.400.4786
O  949.727.1200

Corporate Solutions
Corporate ID 0104791 / License ID 01504494
9838 Research Dr.
Irvine CA 92618