Inland Empire Medical Outpatient Report Q4 2024

MARKET HIGHLIGHTS

• Employment in health care rose by 1,200 jobs from the previous quarter, reaching a total of 170,400 jobs.
• The average asking lease rate climbed to $1.73 NNN per square foot per month.
• Overall vacancy dropped by 10 basis points (bps) to 4.6%, while the overall availability rate fell to 5%. The medical office market continued to outperform the general office market, which had a vacancy rate of 7.9%.
• Total net absorption was positive during this period, mainly due to tenants occupying space in the Inland Empire West submarket. The largest transaction that occurred was 12,287 sq. ft. at 2855 E Guasti Rd in Ontario.
• In Q4 2024, the Inland Empire had three medical office projects under construction, totaling 72,999 sq. ft.