• Net absorption was positive for the fifth straight quarter with 67,478 sq. ft. net absorbed in Q2

• Despite the moderate positive absorption, the overall vacancy rate increased in Q2 to 4.1% due in part to a sizeable vacant construction delivery in Southwest Riverside

• The average asking rate for low-finish product was relatively flat quarter over quarter, decreasing only $0.01 to $0.90 NNN

• High-finish product decreased $0.06 from a post-recession high to $1.36 NNN

• Eight new buildings, totaling 677,486 sq. ft., broke ground in Q2 2018 to push construction activity to a post-recession high of 3,503,817 sq. ft.

• Four buildings delivered in Q2 totaling 463,632 sq. ft.