The Robust Industrial Real Estate Market
August 19, 2007
The industrial market rebounded in a big way during the second quarter of this year. Net absorption totaling 45 million square feet bested space completions of 31 million square feet by a wide margin, enough to push the vacancy rate down another 10 basis points to 7.6 percent. Space under construction has increased 23 percent since year-end 2006 to 141 million square feet, suggesting that the vacancy rate is unlikely to fall much further. Asking rental rates were flat year-over-year for warehouse/distribution space and up by 10.3 percent for R&D/flex space. This information was provided by Bob Bach, senior VP at Grubb & Ellis, a major commercial real estate firm.
Posted in All Things San Diego, Lending, Local Business, Real Estate, Things of Interest
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