As a result, capitalization rates for industrial properties are running lower than other sectors. However, those industrial properties on the market for less than seven figures are trading at an average capitalization rate of 9.46%, while those selling above $10 million are trading at an 8.22% capitalization rate, according to The Boulder Group. In between, though, properties offered in the $4-million to $5-million range are on the market at a 6.65% cap rate.
"With the number of available industrial properties being so limited, now is the ideal time to consider disposing of industrial net-leased properties," writes The Boulder Group research director Jeff Rothbart.
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