Research & Insights

Tenants are leasing warehouse space at a blistering pace this year to hold more inventory and mitigate transportation costs that are growing at a much faster pace than lease rates.

Shipping volume has surged over the past year as retailers and manufacturers rush to replenish depleted inventories during the pandemic.

Shipping volume has surged over the past year as retailers and manufacturers rush to replenish depleted inventories during the pandemic.

As explosive e-commerce pressures shippers to shorten delivery times, industrial & logistics submarkets near major cargo airports are commanding a 13% average rent premium over the broader market.

The U.S. industrial market cemented itself as the most in-demand commercial property sector in 2020, fueled by a large increase in e-commerce sales due to COVID-19 restrictions.

More companies are adopting a “China-Plus-One” supply chain strategy, which shifts some production away from China to other lower-cost export countries, to protect the flow of international trade.

E-commerce will account for more than 265 million sq. ft. of annual net industrial absorption between 2022 and 2025, leading to average annual rent growth of 4.4%, according to the latest CBRE estimates.

As the U.S. economy restarts, adjustments to business supply chains will increase the demand for warehouse space.

CBRE Research found that 16 of the top 20 markets for under-construction space—accounting for 70% of total under-construction inventory nationally—have workers active and on site, with most of these projects deemed “essential.”