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USC report: Southern California rents to rise over next 2 years
VOL. 11,
NO. 253
Prosecution, defense offer sharply contrasting views of disgraced deputy
By Joe Taglieri
By City News Service
joet@beaconmedianews.com
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| Photo courtesy of the USC Lusk Center for Real Estate
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persistent lack of units to satisfy the growing demand for housing in Southern California will continue to drive rent increases throughout the region during the next two years, according to a USC study released Wednesday. The 2025 Casden Real Estate Economics Forecast by researchers from the USC Lusk Center for Real Estate reported that vacancy rates remain low at around 5% in Los Angeles County and 4% in Orange County. The Inland Empire remains Southern California’s most affordable rental market with vacancy at 6.4%. The annual analysis also flagged broader economic risks such as a possible stockmarket correction fueled by AI investments, elevated interest rates and rising federal debt that could further curtail already sluggish housing production in the
region. Researchers said the forecast pairs its two-year housing projections “with the reality check that rebuilding into affordability will likely take sustained effort lasting a decade or more.” According to the forecast, rent rose just 0.5% in LA County through October 2025, averaging $2,336. The vacancy rate was 5.37%. Rents are expected to increase 0.64% over the each of the next two years to average $2,350 by October 2027. Average rent this year as of October in Orange County was $2,776 with a 3.84% vacancy rate. Forecasters set annual rent growth of 2.52% in the county, with the average rent reaching $2,859 by October 2027, an annual increase of 2.5% over each of the next two years. The vacancy rate was expected to reach 4.21%. “Housing affordability keeps shrinking for the people who need it most.
The most data-backed solution is obvious: we need more housing,” forecast author Moussa Diop, associate professor of Real Estate at the USC Sol Price School of Public Policy, said in a statement. “Beginning with the 2008 downturn, the US lost the production capacity needed to meet long-term demand. We can build back, but it’s going to take an allhands approach.” While new housing construction in California remains weak, states including Texas and Florida have attracted former California residents and are building at much higher rates, according to the report. Adjusted for population, Texas permitted more than twice as many units as California despite facing similar high interest rates and volatile tariffs. “Rent control or subsidies may offer short-term relief, but without new supply, these policies only
entrench the problems they seek to solve,” Diop said. “San Diego shows what’s possible: in just five years, it built enough supply to make average rents cheaper than in Orange County after years of similar prices. We’ll soon see whether CEQA reform improves the reliability of infill development.” According to the report, San Diego County’s average rent was $2,535 with a vacancy rate of 5.54% in October. The forecast said rent will rise slightly, reaching an average of $2,563 by October 2027 along with a reduced vacancy rate of 5.18%. Looking ahead, the forecast expects much of the same in 2026 and 2027: slowly rising rents and not nearly enough new housing, with a handful of local exceptions. Regional conditions vary significantly in See Rents Page 05
former Riverside County sheriff’s deputy accused of abusing his authority and committing felonies while off-duty is unquestionably guilty, a prosecutor said Wednesday, while the defense countered the case against the disgraced lawman is largely based on mistakes and misinterpretations of what really happened. The prosecution and defense in the trial of 34-yearold Alexander Ravy Vanny both rested Wednesday and were directed by Superior Court Judge James Hawkins to immediately proceed with closing statements at the Larson Justice Center in Indio, where testimony lasted about two weeks. Vanny, of Hemet, was arrested last year and charged with kidnapping, stalking, possession of child pornography, unauthorized use of
Alexander Ravy Vanny. | Photo courtesy of the Riverside County Sheriff’s Department
protected electronic data, maliciously destroying a wireless device, witness intimidation, illicit eavesdropping, using a concealed camera to invade privacy, illegal use of a tracking device, interference with a traffic control device and possession of a firearm in violation of a protective order, with a
See Ex-deputy Page 24
Report: Limited economic growth likely for inland region in 2026 By City News Service
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rospects for the Inland Empire economy going into 2026 are nothing to brag about, but the region will continue to realize marginal growth in a few sectors, according to a report released Thursday by the Southern California Association of Governments. SCAG published its annual “Southern California Economic Update” to rate the previous year’s See Economic growth Page 23
developments and provide predictions on what may be in store over the ensuing 12 months. “The logistics sector will face a slowdown if tariffs give rise to weaker trade coming through the ports,” Inland Empire Economic Partnership Chief Economist Manfred Keil, who worked specifically on the IE segment of the Update, said. “Industries such as