3rd Quarter 2000 Market Statistics
Existing Commercial and Industrial Building

Although new commercial development produced over 4 million square feet of office, industrial, and retail space in the 1998-99 period, vacancy rates were virtually unaffected. That's because of the tremendous utilization of space by existing firms in the area, and some new firms relocating in Ventura County.

Absorption of available office and industrial space has been faster and greater than expected, as was the general performance of the local economy.

New commercial building has slowed in 2000. Investment in industrial building is up just over 2 percent for the first 7 months of 2000. However, new office and retail construction is off 50 percent. Total new commercial industrial investment is down 45 percent from year-ago activity.

Currently, there is nearly one million square feet of office and industrial space underway in Ventura County. A number of other projects including retail projects are in planning, along with speculative industrial projects are in planning, along with speculative industrial projects in Oxnard.

Click on each graph to see a larger image.

OFFICE AND INDUSTRIAL LEASE ACTIVITY IN 2000

According to UCSB, the absorption of office space continued with strength through the first 6 months of 2000. The table on page 12 presents the principal lease activity in Ventura County during the first 6 months of 2000.

Office vacancy has tightened in Ventura County since the end of 1999. The vacancy rate, based on the UCSB survey of 11.1 million square feet of office space, declined nearly 2 percentage points to 10.5 percent by June 30, 2000.

On the eastside of the county, office vacancy fell from 11.3 percent to 9.7 percent. There has been significant interest in the 101 technology corridor over the last several years. Because of the incredibly high office and industrial rents now prevailing in Santa Clara County, lease rates in Thousand Oaks, Westlake Village, and Agoura Hills are inexpensive by comparison.

On the westside of Ventura County, office vacancy fell to 11.6 percent. Industrial vacancy picked up slightly, from 9.3 percent at the end of 1999, to 9.8 percent by the end of June 2000.

RETAIL SALES AND VACANCY

Retail markets remain very healthy in Ventura County. Actual sales are only as recent as 4th quarter 1999. However, other information about the retail environment strongly suggests that consumers continue to spend freely in Ventura County stores.

Automobile dealer employment continues to increase, through August of 2000. Auto sales in the U.S. have not retreated much, despite higher financing rates and significantly higher gasoline prices this year.

New Retail Projects Planned
Ventura County

• River Park in Oxnard: 1.4 million sq. ft.
• Camarillo Town Center: 300,000 sq. ft.
• Esplanade Mall redevelopment: 500,000 sq. ft.
• Liberty Plaza in Thousand Oaks: 75,000 sq. ft.
• Target Center in Moorpark: 320,000 sq. ft.
• Montalvo Hill in Ventura: 220,000 sq.ft.
• Lifestyle Entertainment Center in Camarillo:
  220,000 sq. ft.

Sales growth of goods from retail outlets in Thousand Oaks continue to be explosive. This is also true in Moorpark and Simi Valley.

Both Ventura and Oxnard have experienced healthy retail sales markets, especially since Pacific View Center opened last year.

Retail vacancy, tracked by UCSB shows very tight retail conditions in the County through the end of June 2000. The vacancy rate for retail space in the East County is a scant 4.9 percent. This year, a number of stores opened in The Village in Newbury Park, and more leases are being signed at this writing.

In the West County, vacancy currently stands at just 5.4 percent.

Editors Note: The vacancy rate survey is conducted quarterly by UCSB Quarterly Report for the eastern and western cities of Ventura County. All the commercial vacancy data presented here was provided by UCSB Quarterly Report.

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