San Diego San Diego

The San Diego medical office market has celebrated 10 straight years of declining vacancy. According to a recent medical office report from JLL, class-A medical office vacancy rate is down to 2.9%. Available product is the biggest factor driving the vacancy in the market.

"There is simply more demand than supply," Chris Ross, EVP at JLL, tells GlobeSt.com. "We have around a half million square feet of medical office space under construction in San Diego County, but 80-90% of it is pre-leased (or owned) by health systems—so almost no new product for private practice physicians to occupy. As most of the class-A vacancy gets absorbed, class-B building owners are able to attract more tenants, often doing so through renovations to bridge the gap in demand and rent."

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Kelsi Maree Borland

Kelsi Maree Borland is a freelance journalist and magazine writer based in Los Angeles, California. For more than 5 years, she has extensively reported on the commercial real estate industry, covering major deals across all commercial asset classes, investment strategy and capital markets trends, market commentary, economic trends and new technologies disrupting and revolutionizing the industry. Her work appears daily on GlobeSt.com and regularly in Real Estate Forum Magazine. As a magazine writer, she covers lifestyle and travel trends. Her work has appeared in Angeleno, Los Angeles Magazine, Travel and Leisure and more.