Submarket Snapshot: Greater DTLA office market in Q1 2016

Area, which includes Arts District, sees development and the lowest vacancy rate in the DTLA market

Apr.April 28, 2016 05:21 PM

Greater Downtown, a submarket that includes the Arts District, saw the lowest vacancy and the lowest rents out of all the Downtown submarkets in the first quarter of 2016, according to a report by Transwestern.

The 2.4 million-square-foot office market saw 12.5 percent vacancy in Q1, compared to 20.9 percent in Bunker Hill, 17 percent in the Financial Core and 15.5 percent in South Park.

It also had the lowest average rent, at $2.75 a square foot a month, significantly lower than Downtown’s priciest submarket, Bunker Hill, which clocked in at $3.35.

Greater Downtown saw 67,978 square feet of positive absorption.

There was 790,854 square feet of office space under construction. This included the Arts District’s Ford Factory building at 2060 East Seventh Street, a 254,000-square-foot creative conversion by Shorenstein Properties.

Related Articles

Skid Row Housing Trust CEO Lee Raagas and a rendering of the project (Credit: Michael Maltzan Architecture via Urbanize)

Skid Row Housing Trust, Michael Maltzan Architecture plan mass-timber housing tower

Brookfield finishes first phase of California Market Center remodel

Brookfield completes 600K sf first phase of California Market Center project

Eric Garcetti andMichael Weinstein, with the Madison Hotel (Credit: Amanda Edwards/Getty Images, Charley Gallay/Getty Images for Aids Healthcare Foundation, and Google Maps)

AIDS Healthcare Foundation sued over conditions at its Skid Row SRO

Jose Huizar gave new details Monday on Pershing Square redesign (Credit: Getty Images and Wikipedia)

An embattled Jose Huizar revives Pershing Square redesign

A rendering of the project

Jade Enterprises to build campus-like project near Soho Warehouse

Greenland exec Hu Gang and Metropolis Tower III (Credit: BuzzBuzzHome)

Greenland opts to go rental at Metropolis tower in DTLA

Equity Residential CEO Mark Parrell and a rendering of the 4th and Hill tower

Equity Residential’s long-stalled DTLA residential tower project is back

Spotify CEO Daniel Ek and At Mateo (Credit: Spotify)

Spotify expands to 150K sf in the Arts District: sources