The industrial market held steady in the third quarter, reports RCG Economics LLC, with no new completions and 16.2% direct vacancy or the same last quarter. Vacancies had previously trended upward during the last 5 years. There was 43,600 square feet of net absorption in the third quarter, with 181,100 square feet of space under construction. “Small increases in supply are essential for the industrial market’s return to a healthy supply-demand balance,” said John Restrepo, principal of RCG Economics, “The average monthly asking rent is up slightly to $.52 per square foot during the third quarter. But, it will be a long haul to get back to December 2007’s vacancy rate of 6%.”RCG Economics: Industrial Market Holds Steady
The industrial market held steady in the third quarter, reports RCG Economics LLC, with no new completions and 16.2% direct vacancy or the same last quarter. Vacancies had previously trended upward during the last 5 years. There was 43,600 square feet of net absorption in the third quarter, with 181,100 square feet of space under construction. “Small increases in supply are essential for the industrial market’s return to a healthy supply-demand balance,” said John Restrepo, principal of RCG Economics, “The average monthly asking rent is up slightly to $.52 per square foot during the third quarter. But, it will be a long haul to get back to December 2007’s vacancy rate of 6%.”
