INDUSTRIAL FLEX IN PERRIS, CALIFORNIA

The Power of Place: A Report on Moreno Valley & Perris by Marie Cappello, Broker

As an industrial real estate specialist, I’ve learned that true value isn’t just about the building—it’s about the entire ecosystem surrounding it. And in the Inland Empire, no two cities embody this better than Moreno Valley and Perris. They are the engines of Southern California’s supply chain, and for a forward-thinking investor, they represent a prime opportunity to capitalize on a market that’s both strategic and surprisingly resilient.

The Industrial Pulse: A Market in Recalibration

The industrial market in this region is a compelling study in market dynamics. After a period of explosive growth fueled by e-commerce, the market is “normalizing,” with a slight rise in vacancy rates to around 7.9% in the Inland Empire as a whole. But let’s be clear: this is a correction, not a collapse. The narrative is shifting from a frantic land grab to a more disciplined, tenant-driven market.

• Big-Box Dominance: Moreno Valley and Perris are the undisputed kings of big-box logistics. Giants like Amazon, Lowe’s, and UPS have leased millions of square feet here, drawn by the affordable land, strategic location, and business-friendly environment. The average rent, while having seen impressive growth, remains roughly 40% lower than in Los Angeles or Orange County, making it a no-brainer for tenants focused on the bottom line.
• Flex Market Resilience: While the larger market has seen a surge in supply, the smaller, more versatile “flex” spaces are holding strong. These are the workhorses of the economy, serving everything from last-mile delivery to light manufacturing. This niche segment provides a consistent demand floor, adding a layer of stability to the overall market.
• The Land Factor: This region is one of the last places in Southern California with large, developable land parcels. This is a massive competitive advantage. It’s why developers are building state-of-the-art facilities with all the bells and whistles, from ESFR sprinklers to LED motion lighting. The potential for future growth here is real, and it’s a key reason why major players continue to invest heavily.

Beyond the Numbers: Why This Region is a Winner – Industrial

An investment is only as good as the community it serves. Moreno Valley and Perris are not just a collection of warehouses; they are a vital part of a thriving regional economy.

• Affordable Living: This is where the labor pool lives. Unlike the expensive coastal cities, Riverside County offers a lower cost of living and more affordable housing. This is a crucial factor for attracting and retaining the skilled workforce needed to run these massive logistics operations.
• A Slice of Paradise: Beyond the business, this area has its own charms. Moreno Valley is home to the stunning Lake Perris State Recreation Area, offering hiking, boating, and fishing. The surrounding area is dotted with scenic parks and is within a short drive of the Santa Rosa Plateau Ecological Reserve. It’s a place where you can manage a massive distribution center and still be on a hiking trail in minutes.

For an investor, the combination of robust industrial fundamentals and a compelling quality of life makes Moreno Valley and Perris an unparalleled opportunity. The market is maturing, but the long-term drivers—location, labor, and a business-friendly attitude—remain as strong as ever.

Interested in the employers driving this market? See the top companies in the region on the official Riverside County Economic Development website. You can also dive into the detailed reports on the industrial market from firms like Kidder Mathews.

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