Colliers International Group

Warehouse rental rates surged to record in Q4

More evidence came to light in a report published Wednesday by Colliers International Group Inc. demonstrating the U.S. industrial real estate sector was able to withstand the impact of higher interest rates to deliver a strong fourth-quarter performance.

Leading the way was data showing the highest annual rental rate growth in the sector’s long history. Average asking rents rose to $8.10 per square foot in the quarter, an astonishing 18.9% year-on-year increase, Colliers said. 

At the same time,...

https://www.freightwaves.com/news/warehouse-rental-rates-surged-to-record-in-q4

Warehouse leasing forecast to fall as much as 15% in 2023

U.S. industrial and logistics leasing activity will decline by 10% to 15% in 2023, though for the 13th consecutive year more industrial square footage will be absorbed than will be vacated, real estate services firm CBRE Group Inc. said Thursday.

Industrial vacancy rates, already at historic lows, will increase just slightly next year, CBRE said.

Nationwide vacancy rates currently sit between 3% and 4% and in several top-tier markets are well below those levels. CBRE (NYSE: CBRE) classifies...

https://www.freightwaves.com/news/warehouse-leasing-forecast-to-fall-as-much-as-15-in-2023

Chicago’s industrial net absorption rate down — for good reason

Is the Chicago industrial real estate market, the country’s largest and for the past couple of years the hottest, finally starting to slow?

On the surface, industry data would contend that to be the case. But appearances can be deceiving.

Net absorption, a calculation of the amount of space occupied during a given period minus the amount vacated, came in at 6.9 million square feet, according to data published Monday by real estate services firm Colliers International Group Inc. (NASDAQ: CIGI)....

https://www.freightwaves.com/news/chicagos-industrial-net-absorption-rate-down-for-good-reason