Nearby Labor Essential to Industrial's Ongoing Growth

'A new refrain is leaping to the forefront: labor, labor, labor,' writes Ermengarde Jabir.

Proximity to labor will remain a key factor driving industrial occupiers’ site selection decisions, according to a new analysis from Moody’s Analytics CRE.

“One old adage continues to hold true: location, location, location,” writes Moody’s Senior Economist Ermengarde Jabir. But now, a new refrain is leaping to the forefront: labor, labor, labor. While labor has always been vital to the CRE equation, the confluence of a tight labor market and inflation – which has caused prices for necessities, including food, housing, and gas to skyrocket – is underpinning the need for new warehouse/distribution properties to be located in close proximity to labor.”

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