Orange County Medical Outpatient Report Q4 2024

MARKET OVERVIEW

• The Orange County health care industry experienced a slowdown during Q4 2024.
• By November 2024, health care employment had risen to 175,600 jobs, marking a quarter-over-quarter increase of 2,700 jobs and a year-over-year growth of 5.4%.
• The average asking lease rate dropped by one cent to $2.83 NNN per sq. ft.
• The vacancy rate rose to 6.5% from 6.3% in Q3 2024, and the availability rate increased by 10 basis points to 10.4%.
• The West OC submarket recorded the highest net absorption with 3,754 sq. ft., while the Greater Airport Area had the highest asking rate at $3.20 NNN per sq. ft. per month.
• Despite the Orange County market experiencing negative net absorption of 15,096 sq. ft. in Q4 2024, the year-to-date total remained positive at 19,852 sq. ft.