Despite rising vacancy rates, average asking rent growth in the industrial space sector rose 0.3% quarter-over-quarter in the fourth quarter of 2023. In addition, rent growth was recorded at 6.0% year-over-year in that same quarter. This marks a record $10.24 per square foot increase, according to a report from CBRE.

Average asking rents increased significantly in several major markets last year, in fact, including  the Pennsylvania I-78/81 Corridor, at 41.2%, Houston, at 30.9%, Indianapolis, 20.6%, and Dallas-Ft. Worth, 19.3%. While concerns about the economy, interest rates, and consumer spending caused many in the industrial real estate sector to contain spending, these areas experienced a different reality.

But while average asking rent rose, average taking rent fell by 3.5% quarter-over-quarter. However, it was 13.8% higher than a year ago.