Market Trends

• High-quality industrial space continues to hit the market, driving deliveries and vacancy higher. Major industrial parks on the outskirts of the city are driving most of the new supply.
• Rental rates have softened in the short run due to the abundance of new, high-quality space. Large sublease spaces with low rates have also impacted overall asking rates for the quarter. We can expect rates to stabilize as these spaces fill.
• Build-to-suit options on vacant land in new industrial parks are becoming more common. These allow space to be listed while enabling developers to delay construction while interest rates remain elevated.

Read the full report