Average asking lease rates closed the quarter at $0.81 per sq. ft., unchanged since Q1 2018. Year over year, lease rates increased by 3.8% due to limited availability and endless demand from a diverse mix of users during the same time span.
At the end of Q2 2018, vacancy decreased by 10 basis points (bps) to 1.2%, due to noteworthy demand from a mixed bag of tenants.
The availability rate at the end of Q2 2018 decreased by 20 bps from Q1 2018 to 4.3%, but up 50 bps year over year, due to new deliveries outpacing net absorption.
Demand from e-commerce related users, 3PLs, importers, food users, apparel, aerospace and alternative uses, such as creative office and studios, pushed year-to-date net absorption to 3.3 million sq. ft.