Ontario, CA - Office Market Overview
Ontario neighbors the Chino, Rancho Cucamonga, and San Bernardino commercial real estate markets. While Ontario itself has a population of just over 173,000, it is part of the much larger Los Angeles metropolitan region, which is home to over 13 million residents. Located in San Bernardino County, Ontario is just 35 miles east of Downtown Los Angeles.
As of mid-2017, the Ontario office market encompasses just under 3 million square feet of existing office space in properties larger than 50,000 square feet. The commercial real estate market in Ontario, CA, is dominated by the shipping and logistics industries that are within the city.
Ontario, CA - Office Inventory Description
Located in the western section of California's vast Inland Empire, Ontario is home to the Ontario International Airport, the 15th-busiest cargo airport in the U.S. Due to the volume of freight traffic bound for Los Angeles and Long Beach that passes through Ontario, the city makes a significant contribution to the L.A. region's $682 billion in gross annual metropolitan product.
Class A or A+ office space in Ontario CA accounts for over 66% of the total office market in buildings that are larger than 50,000 square feet, while Class B office space in the Ontario metro area adds another 30% of office product to the market. Due to Ontario's prime geographic location in the Inland Empire, demand for office space remains strong. Some of the larger Class A office buildings in Ontario include the Empire Towers I, the Palm Brook Corporate Center at 3602 Inland Empire Boulevard, and the One Piemonte office building.
Ontario, CA Commercial Inventory Breakdown
Total: 3,783,397 SF
By square footage range:
- 50k to 100k SF: 1,859,415 SF / 49.15% of total office
- 100k to 500k SF: 1,923,982 SF / 50.85% of total office
- Class A: 2,403,536 SF / 63.53% of total office
- Class B: 1,379,861 SF / 36.47% of total office
Ontario, CA - Green Office Space
Demand for Class A green office space in Ontario is consistently strong from both tenants and office investors alike. About 12% of the total office space in Ontario is rated as either green office space, LEED-certified, or EPA Energy Star-rated. One example of a LEED-certified office building in Ontario is the Concours Corporate Center. With nearly 80,000 square feet of Class A green office space, this building was constructed in 2002 and holds a LEED Silver certification.
California is one of the most environmentally-friendly areas in the U.S. So much so that private owners of commercial real estate and office space are required by law to file an annual report to the public, noting the energy consumption of each building that they own. Energy-efficient office space isn't a passing fad. In fact, the percentage of green office buildings across the top 30 office markets in the U.S. has increased by 33% over the past 12 years, a trend that is sure to continue to grow.
Ontario, CA's Top Office-Using Sectors
While the Ontario commercial real estate market is driven largely by the shipping and transportation industry, there is still significant demand for office space in Ontario, Calif. Some of the top office-using sectors in Ontario include:
- Distribution – Sam's Club and Target are two of the largest companies in this sector and also two of the largest employers in Ontario, generating significant demand for white-collar office space.
- Shipping & Transportation – United Parcel Service and the Ontario International Airport also employ a large number of people, and help to drive the demand for commercial real estate.
- Corporate Office – Securitas, a security services, guard, and investigation company, has its national headquarters in Ontario.
- Total Population171,041
- Male Population(49.2 %) 84,148
- Female Population(50.8 %) 86,893
- Median Age32.00
- Average Household Income$69,644
- Median Household Income$57,544
- Median Income Under 25$34,234
- Median Income 25-44$57,649
- Median Income 45-64$66,748
- Median Income Over 65$42,866
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