The Los Angeles office market experienced another quarterof negative net absorption and rising vacancy, despite moderate economic growth, and job creation in office-related employment sectors. In the second quarter, demand for office space fell with overall occupancy declining by -718,600 square feet market-wide, and the vacancy rate rose by 60 basis points to 18.1 percent. Following consistently positive demand in 2012, the market appears to have changed course in the first half of 2013. The combination of 1.1 million square feet of space givebacks and delivery of 800,000 square feet of new construction pushed vacancy above the previous peak of 17.5 percent reached in mid-2011.
Source : DTZ (Groupe UGL)