Industrial leases signed in the last 12 months reached a national average of $9.01 per square foot, $1.88 more than in-place contracts.
While industrial deliveries hit a new high in 2022, supply is still behind demand, and 2023 is set to be another robust year for development.
More than 742 million square feet of industrial space was under construction at the end of November as demand continues to outstrip supply.
National industrial in-place rents averaged $6.95 per square foot, up 5.8% year-over-year as demand remains strong
Industrial tenants continue to pay increasing lease rates, with new contracts $1.38/sq .ft higher than in-place rents.
After 7 consecutive quarters of growth, in Q3 2022 the national average sale price came in $6 below Q2, resting at $131/sq. ft.
National lease spread hits historic high at $1.45 per square foot, with some markets, like Los Angeles, are seeing gaps as wide as $4.89.
Q2 closes as the 7th consecutive quarter of price increases for industrial assets, with the national average sale price reaching $138/sq. ft.
The national vacancy rate contracted to 4.7%, as sustained demand for industrial space continues to tighten vacancies across the U.S.
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