Expansion of E-Commerce & Manufacturing Continue to Uplift U.S. Industrial Market
Friday, April 30th, 2021
CommercialEdge just released its Q1 national industrial report, looking at the US industrial market’s performance in the first quarter of 2021.
Southern California has the hottest industrial markets in the country, and demand in Los Angeles and the Inland Empire has spilled over into Phoenix.
Being so close to the busiest port in the country while offering cheaper rents than its neighbors has led Phoenix to become a market in high demand for major tenants.
Key highlights from our report:
CommercialEdge recorded $8 billion of transactions nationally during the first quarter of 2021.
Industrial rents averaged $6.43 per sq. ft. in March, a 4.4% increase year-over-year, with western coastal markets seeing the largest increases in lease rates.
High absorption of new space keeps national industrial vacancy rate steady: the average vacancy rate was 6.1% in March.
The average price per sq. ft. went up 30% from Q1 2020 to $112 per sq. ft.
As of March 2021, a total of 367.8 million square feet is currently under construction - DFW & Chicago boast largest pipelines.
For more insights and market-specific data, here’s the link to our report: https://www.commercialedge.