Average Industrial Leases in East Bay Grow Smaller

The East Bay industrial sector enjoys some of the best market fundamentals in the market. The average vacancy rests just above 4% and net absorption, the difference between move-ins versus move-outs, has averaged a positive 2.8 million square feet annually over the past three years, having already reached 900,000 square feet in 2023. Demand has been strong and the 4.8 million square feet of new supply added to the market over the past three years has done little in the way of availability in the local warehouse supply.