INLAND EMPIRE, CA-GlobeSt.com gets an exclusive sneak peak at a new industrial report from Jones Lang LaSalle for the region, which shows an outlook that continues to improve. Larger tenants are posting a 65% gain quarter-over-quarter in leasing activity. According to EVP Tim O’Rourke, Inland Empire fundamentals continue to improve with market vacancy rates dropping by 20 basis points quarter-over-quarter.
“Despite rumors of a slowdown in activity, tenants over 100,000 square feet posted a 65% gain quarter-over-quarter in leasing activity,” he explains. “Unfortunately absorption gains were not as strong, as roughly 50% of these deals were lease renewals.”
According to the report, speculative construction is well under way throughout the market and demand is proving strong, as shown with a 1-million-square-foot pre-commitment from Amazon.com. Additionally, the report says, Cott Beverages and Pepsi signed leases for two build-to-suits in San Bernardino, marking the first build-to-suit starts since 2009.
“As is the case with many other major distribution hubs across the US, the Inland Empire is benefitting from growth in the E-Commerce sector as well as the food & beverage, third-party logistics and automotive industries,” the report concludes.
 |
Related to recent JLL industrial news, O’Rourke was one of many other members of JLL that served as a strategic advisor for an agreement between Australian commercial real estate investor and developer the Goodman Group and Birtcher Development to invest $1.5 billion in industrial real estate with a big focus on the Inland Empire, as GlobeSt.com previously reported.
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more inforrmation visit Asset & Logo Licensing.