X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

The industrial market is leading the Southern California region for lowest cap rates. According to recent research from CBRE’s Cap Rate Survey, industrial assets have an average cap rate of 4% in the Inland Empire, Orange County and Los Angeles. The survey factored the low going-in cap rate with a 10-year hold period and projected strong rental rate growth giving the ability to generate high returns. It isn’t surprising that industrial market is seeing such low cap rates, considering the strong demand for product and the depth of capital looking to increase its exposure to industrial product.

Kelsi Maree Borland

GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now

Copyright © 2018 ALM Media Properties, LLC. All Rights Reserved.