X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

Medical office rents in Los Angeles are among the highest in the nation. According to a recent report from CBRE, medical office rents this year were the third highest in the nation. In the second quarter medical office rents increased .9% to $33.84 per square foot year-over-year, and the trend continued through the end of the year. A supply shortage is behind the increase in rents. During the same time period, the vacancy rate decreased 177 basis points to 5.8% over the same period.

“There is a lack of space,” Angie Weber, first VP at CBRE, tells GlobeSt.com. “We have had very little new construction for medical office in the last 25 years. Because the providers are starting to do things very differently, like go off campus and go into the neighborhoods to be amongst the rooftops, you have all this new space being gobbled up. That is obviously raising the demand.”

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Kelsi Maree Borland

Kelsi Maree Borland is a freelance journalist and magazine writer based in Los Angeles, California. For more than 5 years, she has extensively reported on the commercial real estate industry, covering major deals across all commercial asset classes, investment strategy and capital markets trends, market commentary, economic trends and new technologies disrupting and revolutionizing the industry. Her work appears daily on GlobeSt.com and regularly in Real Estate Forum Magazine. As a magazine writer, she covers lifestyle and travel trends. Her work has appeared in Angeleno, Los Angeles Magazine, Travel and Leisure and more.

More from this author

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.