Intelligence

Regional Summaries

Select a state to view available market snapshots

Oakland - East Bay

Apartment
The vacancy rate was flat and at a low level in 2015 in the 148,000-unit Oakland-East Bay apartment market, but rents increased faster than incomes. The vacancy rate began and ended the year at 2.7%, with little variation from quarter-to-quarter. In 2015, both the average asking rent increased 6.5% to $1,721 per month, and the average effective rent increased 6.6% to $1,661 per month. The fourth quarter gain was 0.8% by both measures. Overall rents increased 0.1% by both measures in January 2016.
Industrial
The 125.4-million-square-foot Oakland-East Bay warehouse/distribution market had a big year in 2015, with 2.55 million square feet of net absorption and 1.63 million square feet of new supply. The vacancy rate fell 90 basis points during the year to just 9.4%, including a 10-basis-points decrease in the fourth quarter. The average asking rent increased 2.7% in 2015 to $5.38 psf, with the average effective rent up 3.0% to $4.86 psf. The fourth quarter gains were 0.7% and 0.8%, respectively. The January vacancy rate was still at 9.4%, with rents up 0.2% by both measures for the month. The 25.2-million-square-foot Flex/R&D market was also strong in 2015, with 569,000 square feet of net absorption. The fourth quarter vacancy rate was 13.2%, down 30 basis points for the period and 190 during 2015. The January 2016 rate is 13.0%. The average asking rent increased 2.9% in 2015 to $9.33 psf, with the average effective rent up 3.2% to $8.18 psf. A gain of 0.1% by both measures followed in January.
Office
The 52.4-million-square-foot Oakland general purpose, multi-tenant office market roared to life in 2015, with 391,000 square feet of net absorption and a 70-basis-points vacancy rate decrease to 16.6%. The rate fell 40 basis points in the fourth quarter on 201,000 square feet of net absorption. Rents took off in 2015, as the average asking rent increased 4.7% to $28.83 psf, and the average effective rent increased 4.8% to $22.07 psf. The fourth quarter increases of 1.6% and 1.7%, respectively, were the largest of the year. Overall rents were up 0.2% by both measures in January 2016.
Retail
The 28.1-million-square-foot East Bay community-neighborhood shopping center market had a solid 2015, with vacancy remaining low and rents rising moderately. The vacancy rate was up 10 basis points over the year to just 6.2%. The average asking rent increased 2.2% to $29.31 psf, with the average effective rent up 2.3% to $26.15 psf. The fourth quarter increase was 0.8% by both measures. The vacancy rate fell to 6.0% in January 2016. Rents were essentially unchanged in January.

Source: Data provided by Reis, inc.

White Papers

 

     

Additional Resources