Step Into My Office: Orange County’s Tale of Two Markets

July 31, 2026

Podcasts Investment Office Orange County More West

CBRE’s Allison Kelly breaks down Orange County’s office recovery, where well-capitalized owners and selective occupiers are reshaping the market in this episode with CPE’s Olivia Bunescu.

Orange County’s office market is moving from correction to recalibration. While the sector is still navigating the effects of right-sizing and post-pandemic occupancy shifts, CBRE’s latest report points to a market that is gradually finding its footing. With vacancy remaining relatively steady at 13.3 percent and negative net absorption narrowing compared to the first quarter, Orange County appears to be moving closer to balance.

That recovery, however, is increasingly selective. Demand is concentrating around well-located, high-quality properties, particularly in the Greater Airport Area and Irvine Spectrum, while older Class B and C assets are being reevaluated for new uses. At the same time, Orange County is still attracting office commitments across different parts of the market, from owner-user acquisitions at reset pricing to long-term public-sector leases and new flex office locations.

In this episode of Step Into My Office, CPE’s Olivia Bunescu talks with Allison Kelly, senior vice president at CBRE, about what is driving Orange County’s office market now. Kelly discusses stabilizing fundamentals, the Greater Airport Area, the split between long-term owners and new high-net-worth buyers, institutional capital’s hesitation and why Class A assets continue to outperform older commodity buildings.

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For Kelly, Orange County’s next phase will be defined less by a broad office rebound and more by how each property is positioned within a market where stability, redevelopment and flight to quality are all happening at once.

Here’s what they discussed: