Rusty Williams Rusty Williams

San Diego’s industrial market is dynamic. It benefits from both manufacturing and ecommerce demand that has driven vacancy rates to sub 2% in some submarkets. North San Diego County is no exception. The market has a sub 6% vacancy rate, with high demand from small manufacturing and distribution users. However, with 1.9 million square feet of new construction in the development pipeline, rental rates might hit a wall this year. To get a peek inside this pocket of San Diego’s industrial market, we sat down with Rusty Williams, a principal in Lee & Associates North San Diego office and a market expert. Here he talks about the demand dynamics, how the new development is impacting the market and why there aren’t more for-sale options for owner-users.