Orange County office market improves as vacancy falls and rents rise

The office market in Orange County, California, showed signs of improvement in the third quarter, characterized by declining vacancy rates and rising rental prices. According to data from JLL, the total vacancy rate fell to 15.4 percent, down from 17.1 percent the previous year. Average asking rents also increased to $3.02 per square foot per month, up from $2.90 at the end of 2025.

Leasing activity was driven by several significant corporate deals. Taco Bell signed a 254,162-square-foot lease at the Alton HQ, marking the largest office lease in Orange County in five years. Other notable transactions include medical device manufacturer Envista Holdings securing 101,800 square feet and an unnamed aerospace company taking 173,057 square feet in the Airport Area.

While quarterly net absorption saw a slight decline, the year-over-year figure remains positive at 265,394 square feet. The market supply remains tight, with no new office completions recorded so far this year and limited ongoing construction.