Tony Russell Russell: “Rents will continue to increase at a modest pace, probably 3% to 4% per year.”

SAN DIEGO—This is San Diego’s eighth consecutive year of positive office absorption, with very little new supply added to market, causing vacancy rates to tighten and rental rates to rise, JLL managing director Tony Russell tells The firm recently reported that class-A average monthly asking rental rates in the market are now $3.25 per square foot full service gross, having surpassed the previous peak at $3.23 FSG reached in 2007. And, overall asking rates for class-A and -B remain robust with 28% growth since the recession.