What's a typical lease term in San Diego?

10 years for institutional Class A. Shorter terms are achievable on smaller floor plates with stronger covenants.

How is rent quoted in San Diego?

In USD/sqft/year. We also publish a USD-normalised view ($56/sqft/yr) for cross-market comparison.

Modified-gross structures with opex pass-throughs.

Typical lease length: 10 years.
Typical rent-free: 12 months.
Vacancy: 18.4%; trend flat.
Modified-gross structures with opex pass-throughs.

San Diego office lease norms

Modified-gross structures with opex pass-throughs.

TL;DR

Typical lease length: 10 years.
Typical rent-free: 12 months.
Vacancy: 18.4%; trend flat.
Modified-gross structures with opex pass-throughs.

Structure

Modified-gross structures with opex pass-throughs. 10-12 year terms common for life sciences. Free rent of 10-14 months and TI of $100-$160/sqft typical on a 10-year Class A deal; lab fitouts run materially higher.

Negotiating levers

Free rent and TI remain the most negotiable line items; landlords prefer concessions to face-rent cuts because they preserve headline rent and implied valuation. Always model effective rent (face minus PV of concessions).

Key facts

city	San Diego
country	United States
region	Americas
classARentLocal	56 USD/sqft/yr
classARentUsd	$56/sqft/yr
vacancy	18.4%
typicalLeaseYears	10
typicalRentFreeMonths	12
submarkets	5
primeYieldPct	6.4%

Frequently asked questions

What's a typical lease term in San Diego?: 10 years for institutional Class A. Shorter terms are achievable on smaller floor plates with stronger covenants.
How is rent quoted in San Diego?: In USD/sqft/year. We also publish a USD-normalised view ($56/sqft/yr) for cross-market comparison.

Editorial provenance

Reviewed by Miriam Hollander — Lead market analyst. Last updated 2026-04-15. See our methodology and editorial standards.

Primary sources for this page

CBRE Marketview reports — CBRE
JLL Office Insight — JLL
Cushman & Wakefield Marketbeat — Cushman & Wakefield
Savills World Research — Savills
Colliers Global Office Outlook — Colliers

Full sources index · Submit a correction