The demand for leased real estate space in San Diego’s life sciences sector has been on a tear recently, according to a quarterly report from commercial broker CBRE. The result: a tight market for life science tenants with limited space available to lease.
This situation has brought about record-high lease rates and has spurred a burst of construction activity in the market to catch up with demand.
Other findings from the report’s look at the first quarter 2022:
- Vacancy rates were at 3.5%, a record low for the region. The inventory for lab-exclusive property amounts to more than 22 million square feet.
- The dearth of space couple with competition accounts for the run up in rental rates. Asking rents across the market have jumped up to $6.44 per square foot from $6 per square foot since Dec. 31.
- Leasing activity for