"Build-to-suits have become a trend to watch for severalreasons," CB Richard Ellis Inc. industrial broker David Murphytells GlobeSt.com. "Our speculative market has decreaseddramatically under adverse market conditions, leaving room fordevelopers to provide build-to-suit options to tenants."
Additionally, large industrial tenants have begun aconsolidation trend, particularly in the logistics sector.
"These tenants are opting for fewer locations but very largeindustrial boxes, many times in the 500,000-sf or larger category,"Murphy says. "Regardless of market, there are typically fewspeculative projects available of this size at any given time, sothey end up as build-to-suit candidates."
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