A recent paper from NAIOP predicts lower absorption over the next two years, but it’s unclear if industrial developers are... View Article
Tag Archive: Industrial real estate
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.
Industrial real estate has been booming with the rise of e-commerce. After all, products bought online have to come from a warehouse somewhere.
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.
Warehouses are getting smarter, and distribution channels are getting more efficient. As consumers demand faster delivery of goods, the industrial sector will play a huge role in making that happen and technology will be the driver.