Industrial Market Is Taking Trade Disputes in Stride

Tina Lichens

Trade disputes and tariffs are at the top of mind for industrial players. The asset class has become the darling of the commercial real estate market, and many investors have increased their exposure to it. The potential disruption from trade disputes and tariffs was the theme of the SIOR conference this month, but many experts agreed that the industry was taking the few initial impacts well.

“The ongoing tariffs and trade disputes are having an impact on the U.S. industrial market in different ways, but what we are hearing is that the industry is taking the impact in stride and trying to plan around any current or potential future disruption,” Tina Lichens, COO of Real Capital Markets, tells GlobeSt.com. “Our investors and brokers tell us that developers are seeing higher pricing on steel and other materials, which can translate to higher overall construction costs that ultimately factor into the cost of buying those new buildings.”