Los Angeles 2021 Q4 Market Report

Gaming and media companies continued to be the main contributors to office leasing activity during Q4, 2021. The Los Angeles office market experienced minor positive net absorption for the first time since the start of the pandemic. Many tenants currently looking for office space are focusing on flexible lease terms and plug-and-play space to limit capital expenditures. This created an uptick in sublease activity in various parts of Los Angeles during the last quarter. However, despite recent job growth, the office market recovery remains subdued. Recovery may continue to be slow and sporadic as companies figure out how and when they will return-to-the-office.