Industrial

Investors and developers are looking to warehouse conversions in a bid to take advantage of the higher returns and strong rental growth of the logistics sector.

Lowe's Companies Inc. has signed a lease for 120,000 square feet in Kyle Crossing Business Park where it plans to open a distribution center, occupying approximately 60% of building one.

Industrial is still drawing more interest than other CRE sectors, with an increase in both transactions and new development activity.

CenterPoint Properties recently purchased the 707,820-square-foot Bay Area Logistics Center from LDK Ventures after Amazon leased the entire class-A building back in May.

The tenant, Weber-Stephen Products LLC, will continue its US-based product manufacturing strategy at the 622,000-square-foot, Chicago manufacturing facility.

CT Realty has acquired a 18.46-acre infill site to develop Stadium Logistics Center, a 329,402-square-foot industrial building to meet the surging demand for supply chain distribution space amid spiking e-commerce sales growth.

"There is absolutely a need for centrally located fulfillment centers and distribution facilities, and we believe that some vacant warehouses can provide a good opportunity for that type of repositioning."

Amazon led the way transacting more than 26.9 million square feet during the first half of 2020.