A strong first-quarter rate of absorption of new office space has made the Westside one of the strongest office markets in the nation, according to a study released last week by Grubb & Ellis Commercial Brokerage Services.
New office space in the first three months of this year was leased up five times faster than space a year earlier, the report said, pushing the vacancy rate down to 10% of the area's 37 million square feet of space.
The Westside is "the healthiest office market in the western U.S. and possibly in the nation," said John F. Carpenter, vice president and district manager of Grubb & Ellis' Los Angeles office. "Since the recent jump in New York City's vacancy rate, we have found no other comparable market with better (leasing) activity or lower vacancy."
There are now 21 office buildings with an aggregate 2.8 million square feet of space under construction on the Westside, the report said, and another 15 projects are awaiting approval from various planning boards.
The report measured activity in Beverly Hills, Culver City, Marina del Rey, Brentwood, Century City, Hollywood, Santa Monica, West Los Angeles, Westwood and the Miracle Mile.