East Bay Tours Are Beginning to Return to Healthy Levels

WALNUT CREEK, CA—As shelter-in-place begins to ease ever so slightly, the suburban East Bay had an increase in total vacancy as sublease space became available in several markets along the I-680 Corridor. Since the onset of COVID-19 and shelter in place, approximately 180,000 square feet of sublease space hit the market, as some companies consolidate and downsize, according to a recent report by JLL.

In total, sublease vacancy is approaching 1 million square feet and represents 21.3% of overall vacancy in the suburbs, most of which was realized pre-COVID and during the last 24 months. Average asking rents were stable compared to last quarter as landlords maintain base rents and offer higher concessions to incentivize tenants. Rents may begin to decline in the near future as landlords compete for those tenants in the market.