The metro’s central location as a distribution hub of the Southeast, its highly diversified economy, and its comparatively low cost of living and doing business will continue to drive strong interest in the region. Cushman & Wakefield’s recent North American Industrial Outlook showed that strength as Atlanta placed in the top five for both demand and supply.
The forecast for North American industrial absorption from 2021 to 2022 is a healthy 481.3 million square feet (msf). New supply—which has surpassed demand two years in a row—will maintain this trend over the next two years. Atlanta came in at the number three spot for demand with 30.2 million square feet msf of positive absorption expected through 2022 and was the number four city for supply with 29.9 msf. Atlanta is expected to be one of the cities with the strongest rent growth due to its high demand and quality supply.
Key takeaways from the report for North America as a whole include:
- Industrial demand is booming, but so is supply
- Pent-up demand story forming—expect economic surge in back half of 2021
- Fundamentals to continue generating solid rent growth throughout the next few years
- Global trade expected to rise as economic growth accelerates and trade tensions ease, boosting demand
For more, read our North American Industrial Outlook.
