September 17, 2019
Researchers at JLL predict that as the amount of vacant industrial land in the West Inland Empire approaches 2%, tenants and developers will need to start looking to the East Inland Empire for new spaces. The West Inland Empire is a landlord’s market – it has low vacancy rates and is closer to the greater Los Angeles region.
However, the demand in the West exceeds its supply, driving up the average rent of available property.
More than 14 million square feet of industrial land is under development in the East Inland Empire, whereas less than eight million square feet is under development in the West. The greater supply in the East allows tenants to save, on average, about $0.07-per-square-foot on rent.
JLL points out that a number of cities in the East Inland Empire, such as Banning, Redlands, and Yucaipa, have large plots of vacant land suitable for bigger tenants and larger industrial facilities.
For comments, questions or concerns, please contact Dennis Kaiser