To take that a little further, retail is focused on the experience of the shopper, and now office space is following suit, adding amenities for employees, open floor space, bridgeways and space for collaboration. Orange County didn't really have that until quite recently. Properties like Intersect are focused on wellness: outdoor yoga, fitness centers, walking tracks and outdoor workspaces mean that the sector is focused on what the experience is like at work.

In multifamily, it's all about the amenities. Even in Orange County, highest and best use is still multifamily, whether it's available land being bought or existing buildings—it all focuses on residential. The driver for this is that it's part of the experience again—being close to work, feeling like you're home when you're at work; it's one big product type that's fluid.

GlobeSt.com: Which sectors are faring the best, and which are reaching the end of their cycle?

Durnin: I think office has improved the most. It got hurt really badly with the mortgage collapse, but it bounced back rather quickly. We're now at a 9.7% vacancy, and we bounced back more quickly than L.A. Most-improved is definitely the office product. Technology is such a huge umbrella for office; there is tech is in every single industry. For creative types who don't want to be located in L.A., there actually is demand now and creative-office product being built. The demand is still there even though it's different from L.A. L.A. has so many different areas—vintage, campus-style, Playa Vista, freestanding interesting-looking buildings—whereas Orange County is known for one product type: low-rise or mid-rise. Companies that are attracted to unique, interesting buildings with a story will be drawn to L.A., but some people just want clean, open areas close to home, and there's a huge demand for that in OC.

GlobeSt.com: What do you expect to see in the final quarter of the year in each property sector?

Durnin: I think we will cross the finish line of 2016 with strong market fundamentals in place; we're not slowing down at end of this year.

GlobeSt.com: What else should our readers take away from your Q3 reports?

Durnin: Orange County is more resilient than most people realize. It's been kind of a quiet market for a long time, but it fared well during the recession and bounced back after. The tenant base has become more diversified, and it's become a market to contend with as a whole.

ORANGE COUNTY, CA—A quiet market whose property sectors all have strong fundamentals, Orange County has an office sector that bounced back from the recession faster than L.A.'s and an industrial sector that just won't quit, CBRE's head of Southern California research Petra Durnin tells GlobeSt.com. In the wake of the firm's release of its Q3 reports for the region, we spoke exclusively with Durnin about the overarching trends she sees for Orange County commercial real estate and what she is expecting at the end of the final quarter.

GlobeSt.com: From your Q3 numbers, what overarching trends do you see among the various property sectors in Orange County?

Durnin: Market fundamentals are stronger than ever. Rents are rising across all product types and in all submarkets, and vacancy is in the single digits in all product types. There is unified health among all product types, which is great to see.

Retail and industrial are starting to behave like office. Industrial product has always been healthy, even through the recession, and e-commerce is driving that. E-commerce needs more warehouse and infill space, and major e-tailers are now located in Orange County as well, which is a new trend. 3PLs and reverse logistics are important, but retailers are bolstering their online presence retailers so that when brick-and-mortar sales flag, they open an online store, and that helps the two work together. There is strong online demand for retailers like Warby Parker, which opened brick-and-mortar stores after doing well online. The opposite of what we usually see is happening now.

To take that a little further, retail is focused on the experience of the shopper, and now office space is following suit, adding amenities for employees, open floor space, bridgeways and space for collaboration. Orange County didn't really have that until quite recently. Properties like Intersect are focused on wellness: outdoor yoga, fitness centers, walking tracks and outdoor workspaces mean that the sector is focused on what the experience is like at work.

In multifamily, it's all about the amenities. Even in Orange County, highest and best use is still multifamily, whether it's available land being bought or existing buildings—it all focuses on residential. The driver for this is that it's part of the experience again—being close to work, feeling like you're home when you're at work; it's one big product type that's fluid.

GlobeSt.com: Which sectors are faring the best, and which are reaching the end of their cycle?

Durnin: I think office has improved the most. It got hurt really badly with the mortgage collapse, but it bounced back rather quickly. We're now at a 9.7% vacancy, and we bounced back more quickly than L.A. Most-improved is definitely the office product. Technology is such a huge umbrella for office; there is tech is in every single industry. For creative types who don't want to be located in L.A., there actually is demand now and creative-office product being built. The demand is still there even though it's different from L.A. L.A. has so many different areas—vintage, campus-style, Playa Vista, freestanding interesting-looking buildings—whereas Orange County is known for one product type: low-rise or mid-rise. Companies that are attracted to unique, interesting buildings with a story will be drawn to L.A., but some people just want clean, open areas close to home, and there's a huge demand for that in OC.

GlobeSt.com: What do you expect to see in the final quarter of the year in each property sector?

Durnin: I think we will cross the finish line of 2016 with strong market fundamentals in place; we're not slowing down at end of this year.

GlobeSt.com: What else should our readers take away from your Q3 reports?

Durnin: Orange County is more resilient than most people realize. It's been kind of a quiet market for a long time, but it fared well during the recession and bounced back after. The tenant base has become more diversified, and it's become a market to contend with as a whole.