• Rates increased $0.13 quarter over quarter to $2.39 NNN, the highest rate on record.

• Net absorption was negative in Q2 at (83,225) sq. ft.

• Total vacancy increased slightly by 10 basis points (bps) to 4.7%.

• Leasing activity increased to 645,341 sq. ft., up 14.6% from Q1, which drove down total availability to 7.0%.

• San Diego’s unemployment rate fell to an 18-year low of 2.9%.

• Savvy retailers are adopting omnichannel strategies to blend e-commerce and in-store experiences.