U.S. industrial availability declines slightly in Q2
U.S. industrial availability declined by 10 basis points (bps) in the second quarter to 7.8 percent, its lowest level since the first quarter of 2001. The decline was the market’s 27th in the past 28 quarters.
The slight tightening of the market in the second quarter can be attributed to strong demand and a temporary slowdown in new supply.
The U.S. industrial market has benefited from general strength in the economy, notably gains in job growth, port traffic, increased e-commerce activity and key manufacturing indices.
Additionally, developers completed less industrial space in the second quarter (40.2 million sq. ft.) than was expected (46.5 million sq. ft.), according to CBRE. ■