Stable market conditions emerge

  • The industrial market experienced a steady year in 2018 characterized by flattening rents, moderate supply growth and energetic leasing activity. 
  • Net absorption reached 1.7 million sq. ft. at year-end in spite of record-low vacancy as new construction deliveries satiated demand for last-mile warehouse facilities and delivery sites.
  • Lease rates appear to be plateauing due to more balanced market conditions but may experience upward pressure in 2019 as high-end new supply delivers from the development pipeline.