2018: Bay Area Rising Rents Travel into the Central Valley
The Central Valley office market activity has remained very strong through the third quarter’s close. Rising lease rates, $2.15 per square foot on average for Class A office space compared to $2.00 per square foot full service gross at the close of the second quarter, have owners quoting rates deal by deal. Advertised rates are in the past in order to keep up with the rising prices. There is a plethora of small space coming to the market for lease and fewer large footprints available to choose from. Owner-user purchases have continued and with the lack of inventory businesses are looking at available land to purchase and build.