KANSAS CITY—Ever since Ford andGM decided to double down on their commitments tothis metro region, the industrial real estate market has shown tremendousstrength. In the third quarter companies absorbedspace at a pace not seen in years, and the vacancy rates continuedto fall, according to a new study published by CassidyTurley.
The data show that the industrial market's net absorption was1.83-million-square-feet. The last time it exceeded1.5-million-square-feet was in the third quarter of 2008, whentenants absorbed 2.36-million-square-feet of space. And the strongdemand has caught the attention of developers.
“So far this year, a total of 3.01-million-square-feet of bulkand modern space has been added to the industrial market, and 77%of that has been speculative,” said Michael Mayer,managing principal in Cassidy Turley's Kansas City office. “By theend of the third quarter, 84% of that newly constructed spacealready had been leased or sold.”
Continue Reading for Free
Register and gain access to:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
*May exclude premium content
Already have an account?
Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.