Total annual net absorption reached 3.8 million sq. ft., 43,000 sq. ft. shy of the record set in 2015.
Of the almost 2.0 million sq. ft. of spec delivered in 2019, less than 25% was vacant at year-end. 680,000 sq. ft. of Q4 2019 net absorption came from leasing of specs delivered over the past two quarters.
The vacancy rate fell by 50 bps quarter-over-quarter and by 170 bps year-over-year to a new record low of 1.9%
Market-wide, Class A and Class B rents all hit new record highs in Q4 2019.
The amount of spec delivered to the market in 2019 significantly outpaced all other years in the current cycle by at least 1.0 million sq. ft. 2019 closed with nine spec projects, four of which broke ground during the quarter, still under construction.