Retail Net Leasing Has Been Negative Throughout LA for Over Two Years, Though Some Locations Are Holding Up Better Than Others

Before panic from the coronavirus outbreak set in, market conditions in the Los Angeles retail market were reasonable, if not lackluster. Annualized net absorption was negative for over two years, and the vacancy rate continued to drift upward since hitting a recent low in late 2017. Rent growth was running well below inflation and lagged behind the other property types.