The second quarter of 2012 was actually a good one for the country’s industrial markets, according to a new report from Colliers International.
According to the report, the overall industrial vacancy rate in the United States fell to 9.43 percent during the quarter. That’s a drop of 0.25 percent from the first quarter of the year.
The country even saw new construction in this sector, 7.8 million square feet of it, to be exact. And Colliers reports that 46.7 million square feet of industrial space is currently under construction across the country.
Even asking rents are on the rise: Colliers reports that the average asking rents per square foot for warehouse/distribution centers rose 0.14 percent in the second quarter to $4.78.
Of course, there is concern. We are still in the middle of a sluggish national economy. According to the Colliers report, the Fed’s Beige Book and corporate earnings from the second quarter show that the nation’s GDP and industrial output have fallen. At the same time, Europe is entering a double-dip recessino and China’s GDP is slowing to less than 8 percent.
This can all scuttle an industrial market recovery.
But for now? Enjoy the good news in Colliers’ report. We’re still not getting much of that these days in commercial real estate.
– Dan Rafter