The National Industrial Vacancy Rate Is Declining!
The Bottom Line:
There was 31 million square feet of net absorption nationally during Q2.1
The Inland Empire was the most dominant market in Q2. It had a net absorption of 7.5 million square feet. This was equal to 25% of the U.S. net absorption figure.1
The national industrial vacancy rate declined 30 basis points. It is now at 9.8%.2
The national industrial vacancy rate has not been in single digits since 2009. 2
Nationwide industrial properties experienced a slight increase in asking rents.1
Los Angeles is the most desirable industrial market in the U.S. On average, cap rates are 100 basis-points lower than the next leading market.1 In addition, the Los Angeles industrial market has the lowest vacancy rate of 4.1%.3
Sources: 1 – Rene Circ from Grubb & Ellis. “Industrial Market Trends Q2 2011
2 – Grubb & Ellis Industrial Broker Sentiment Survey, Second Quarter 2011
3 – CBRE State of the capital markets. Spring 2011 overview
Thank you to Rene Circ from Grubb & Ellis for producing amazing reports on the national industrial market.
The O’Donnell Group is committed to Commercial Development, Property Management, Asset Management and Leasing.