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Rents for warehouse and distribution space are projected to climb 30% over the next five years in several key US industrial markets, as demand continues to outpace supply for the sector. 

That’s according to a new report from Cushman & Wakefield, which says “the importance of forecasting rent growth for warehouse/distribution has never been more critical” than in the current cycle. The firm predicts increases in asking rents for warehouse/distribution space in excess of 20% in 21 key US markets between Q4 2021 and Q4 2025, with Los Angeles, the Inland Empire of Southern California, Central New Jersey and Nashville predicted to exceed 30%.

 

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