Occupancy Forecast

The 2005 Casden Office and Industrial Market Forecast for Southern California found that Southland rents are on the rise, a trend expected to continue throughout the coming year, according to the Lusk Center. "Stable job growth has helped to reduce office vacancy rates and raise rents throughout the region," said Delores Conway, director of the Casden Forecast. "Lease renewals reflect the positive outlook of business owners across diverse industries. In the area surrounding Orange County's John Wayne Airport, rents have soared almost 13 percent since 2004 as businesses seek the convenience of being in the Newport Beach-Irvine corridor," Conway said. "Southern California office and industrial markets will continue to hold their value through 2006 thanks to a flood of capital from mutual funds, REITs and pension funds needing to diversify real estate holdings and lock in long- term revenue streams," Conway said.