Rents increase despite muted occupancy gains

  • The I-680 Corridor market posted 34,537 sq. ft. of occupancy gains during Q4, as market fundamentals improved at a slower pace through year-end 2017.
  • Although net absorption was muted relative to previous quarters, the average asking lease rate increased further. Both the Class A and Class B product types saw an increase in rates during the quarter.
  • Class A asking lease rates in the desirable Walnut Creek Downtown submarket increased to $4.05 in Q4 2017 from $3.85 in Q3 2017.
  • The vacancy rate for the overall Corridor decreased 30 basis points alongside positive net absorption during the quarter.