We read another fantastic industrial market report written by Rene Circ at Grubb & Ellis. The report explains how 2011 is shaping up to be the second best year in terms of supply/demand fundamentals on record in the United States.
Here are the key take-aways:
Industrial vacancy in the United States is close to 9.5%; a level not seen since 2007.
Rents on average are only 15-30% below their pre-recessionary peaks.
90 million square feet was positively absorbed this year.
Rents have stabilized as demand has outpaced new supply.
New completions will double in 2012 as developers get back to work.
Positive absorption is expected to continue through 2012.