San Diego

With the expansion to the convention center stalled, San Diego hotel deliveries will likely cause an oversupply problem next year.

Parallel Capital Partners sells the final 12 buildings in a larger office portfolio purchased in 2012 for $63 million and sold for nearly $150 million.

In 2019, for the first time this cycle, student housing construction will likely fall below 40,000 beds per year.

Co-working is expanding in San Diego, with lease transactions from WeWork and Spaces in the third quarter.

The board approved a budget for the expansion not to exceed $300 million.

With hotel occupancy rates hitting 80%, RevPAR growth next year will likely be fueled by rate gains.

Large life science companies contributed to increased leasing activity in San Diego, in the third-quarter, with three lease deals of 50,000 square feet and up.

Office rents in the market are up more than 22% from 2013 in San Diego, driven by tenant growth and improved real estate quality.