Q4 Industrial Report - Record Low Vacancy Leads to Continued Construction
2016 Starts Full of Momentum
Leading global commercial real estate services firm Colliers International Group Inc. (NASDAQ:CIGI, TSX:CIG) today released the 2015 Q4 U.S. Industrial Market Outlook.
The U.S. industrial market remains at a post-recession high, recording the lowest levels of vacancy coupled with record construction activity. This is leading to upward pressure on asking rental rates, which have increased 1.5% from the previous quarter.
- The U.S. industrial market continued to break records, posting a vacancy rate decline of 10 basis points to end 2015 at 6.4%.
- Occupier demand for modern industrial space continues to grow.
- Currently, supply is struggling to keep up with demand.
- Tightening market conditions are putting upward pressure on rates.
- Gains are not shared evenly.
- The results of Colliers’ U.S. Q4 survey remained optimistic.
- These gains in occupancy rates, rent growth and construction are leading to aggressive underwriting for quality industrial assets in prime real estate markets.
For more details, Colliers International’s 2015 Industrial research report is available for download at http://www.colliers.com/en-us/us/insights/marketnews/2015-q4-industrial-report