More than 41 million sq. ft. of new supply was delivered in the second quarter, but vacancy nationally remains historically low at 4.3 percent and asking rents rose to $7.50 per sq. ft, according to CBRE’s second quarter industrial report.
Tag Archive: industrial properties
The Fed cut the federal funds interest rate Wednesday by a quarter of a percentage point to about 2.25 percent to protect the U.S. economy from an economic slowdown. As justification for the first rate cut since the height of the Great Recession, the Fed cited concerns over the slowing global economy and trade war with China.
Slowing economic growth, trade wars and a pipeline that is delivering new supply to the market may force investors to adjust return expectations for industrial properties, but it doesn’t appear to be putting much of a dent in buyer demand.