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United States | Oakland / East Bay, CA

Report | East Bay Office Insight - Q3 2015


The suburbs are benefiting from spillover tenant demand from San Francisco and Oakland. Rising rental rates in the Oakland Metro signal tenants to consider options along the 680 Corridor.

The added pressure to the market gives landlords leverage against existing tenants as they realize a dramatic increase in rents coming out of long-term leases. For example, tenants coming out of 10-year deals have realized a 24.6 percent overall rent increase and as a result, tenants have been negotiating shorter-term deals as well as making an effort to maximize free rent. 

Furthermore, tenants from San Francisco and Oakland who hear the news of cheaper rent are willing and able to accommodate the rate hike in the suburbs, whereas long-standing tenants are sensitive to the pressure, shifting focus to secondary markets such as Concord.

Learn more about what’s happening—and what we expect to occur in the coming months—in the East Bay office market.

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