Read our Five Fast Facts for more insight into the key trends that impacted the I-4 Corridor’s industrial market during the second quarter.
- CONSISTENT TENANT DEMAND
Although quarterly demand decreased to the lowest levels since Q4 2018, leasing activity totaled over 5.4 MSF through Q2 and nearly 71.0 MSF over the past five years, the 10th highest volume in the U.S. during this time.
- MARKET REMAINED TIGHT
Overall vacancy was down 40 BPS YOY to 4.4%, well below the 5-year average of 6.3%, but could record an uptick as 8.9 MSF of speculative product is expected to deliver by year-end.
- OCCUPANCY UP
There were nearly 4.6 MSF of tenant move-ins through the first half of 2023, the 9th largest amount in the country.
- COMPLETIONS INCREASE
More than 4.2 MSF of new product delivered through the first half of the year, which was already 78% of the total that delivered throughout 2022.
- RENTAL RATES CONTINUE TO CLIMB
Rents increased 12.5% YOY to $7.82 PSF NNN, as all three markets eclipsed all-time high average rates due to a combination of limited supply and new product hitting the market with premium asking rates.