In light of current high demand for industrial space and favorable cap rates, investors are in buy mode and developers are increasingly engaging in speculative construction, industry sources say.
The U.S. industrial sector experienced a banner year in 2015. Vacancy is currently at a low of 6.1 percent nationally and expected to decline further this year, according to real estate services firm Cushman Wakefield, which also pins the national weighted asking rent at $5.44 per sq. ft. Cushman, Colliers International and CBRE all forecast that industrial rents will continue climbing throughout 2016. Nationwide space availability is at a 15-year low with 9.2 percent, CBRE research says.
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