It was a document third quarter for the U.S. industrial market by nearly each key metric.
Emptiness fell to an all-time low of 4.1 p.c on the again of a document 140 million sq. ft of internet absorption, in response to the Enterprise Journals. Common rents reached an all-time excessive of $7.18 per sq. foot.
Builders are additionally setting information: The 521.4 million sq. ft of house beneath building within the quarter was essentially the most ever. Round 340 million sq. ft is slated for supply this 12 months.
The economic market has been on fireplace for just a few years and particularly in the course of the pandemic, thanks largely to demand for logistics house to cater to the rising e-commerce sector.
Some metrics within the first three quarters of 2021, together with internet absorption, have already surpassed earlier yearly totals or are near doing so.
The 366 million sq. ft of internet absorption up to now this 12 months has blown previous 2018’s complete of 306 million, whereas 667 million sq. ft of leasing quantity nears final 12 months’s complete of 699 million.
Lease for brand spanking new building industrial properties — designed with excessive ceilings and sometimes dozens of loading bays for contemporary wants — in some prime markets have grown by 24.3 p.c since 2019.
Emptiness in a number of the tightest markets is now effectively under 2 p.c. Los Angeles’ emptiness price fell from 1.7 p.c in Q2 right down to 1.4 p.c in Q3.
[The Business Journals] — Dennis Lynch