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First quarter leasing activity in line with historical averages
In the first quarter of 2026, a significant portion of deal volume was driven by smaller lease transactions, with most top leases falling in the 20,000 square feet (sf) range. Overall office transaction activity in Orange County totaled 1.3 million square feet (msf). This aligns with historical first quarter leasing trends, with leasing activity totaling between 1.0 and 1.3 msf over the past three years. Leasing was primarily concentrated in the Airport Area and Irvine Spectrum submarkets, which accounted for the majority of the largest transactions. Tenant demand is showing signs of stabilization, as occupiers gain confidence in their future business plans and moving beyond a waitand-see approach. According to Placer AI, Irvine’s return-to-office activity has reached a 70.0% recovery rate as of January 2020.