Large blocks become scarce with flight to quality and strong pre-leasing
Overall availability in greater Los Angeles ended Q1 at 19.1%, a 50-basis-point increase over the year. Class A availability, however, decreased to 17.9%, down 110 basis points over the same period. New construction remains a top choice for tenants looking for larger contiguous blocks, as evidenced by the 60.0% pre-leasing rate of the 4.1 million square feet (msf) currently under construction. With the influx of new inventory, asking rents continue to rise, closing out the first quarter at $39.69 per square foot (psf), a 3.5% increase over the same time period.