{"id":1004348141,"date":"2019-08-26T05:01:40","date_gmt":"2019-08-26T13:01:40","guid":{"rendered":"https:\/\/www.commercialsearch.com\/news\/?p=1004348141"},"modified":"2021-05-15T05:14:01","modified_gmt":"2021-05-15T13:14:01","slug":"market-pulse-us-industrial-sector-still-solid","status":"publish","type":"post","link":"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/","title":{"rendered":"Market Pulse: US Industrial Sector Still Solid"},"content":{"rendered":"
\"\"<\/a>

James Breeze, National Director of Industrial Research. Image courtesy of Colliers International<\/em><\/p><\/div>\n

It\u2019s clear that the industrial real estate market is thriving as of the second quarter, says the most recent market outlook from Colliers International. Nationally, just 4.9 percent of industrial space is vacant, a record amount of new space (306.1 million square feet) is under construction, mid-year net absorption was 104.7 million square feet, and the national average rent hit a record $6.01 per square foot.<\/p>\n

\n

READ ALSO<\/strong>: Commercial Real Estate Outlook: Shifting Gears<\/a><\/p>\n

\n

Alongside all that, sales volume remains robust ($17.3 billion), though down 13 percent from last year, and average sales prices rose 3.3 percent year-over-year.<\/p>\n

The report reinforces some of the key points in Prologis Inc.\u2019s latest U.S. industrial business indicator<\/a>, a survey of customer sentiment, released a month ago, among them the constraints on industrial development from a scarcity of available sites.<\/p>\n

Indeed, Colliers tallies the now-usual headwinds: global trade wars, particularly with China; weakening economic fundamentals; and worsening labor shortages. And the recent Fed rate cut is noted as a portent of \u201ca weakening global economy, anemic wage growth in the U.S. and increasing trade tensions<\/em>,\u201d wrote the report\u2019s author, James Breeze, Colliers\u2019 national director of industrial research.<\/p>\n

Transportation and labor<\/h2>\n

Beyond the standard numbers and warnings, however, the Colliers report highlights several noteworthy issues and trends. A couple of intriguing metrics come from the transportation sector.<\/p>\n

Total rail car traffic from July 2018 to July 2019 fell 3.1 percent, according to data from the Association of American Railroads. Similarly, the Cass Freight Index, a measurement of total freight movement nationwide, had declined 5.3 percent as of July.<\/p>\n

Colliers also noted the pressure that rising transportation costs, in parallel with more expensive rents, are putting on occupiers, as that \u201cfinal mile\u201d is getting ever costlier. A further result, the report speculated, will be that occupiers will increase the number of their warehouse locations.<\/p>\n

Given the difficulties of attracting labor, one new trend is for warehouse occupiers to offer more amenities. Distribution centers throughout the country are starting to look more like creative office space, according to the report, with upgraded break rooms, ping-pong tables and basketball courts, and even daycare for children.<\/p>\n","protected":false},"excerpt":{"rendered":"

A crucial question, notes Colliers\u2019 new report\u2014how long will today\u2019s conditions last?<\/p>\n","protected":false},"author":882,"featured_media":1004348153,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21808,21748,23891,21742],"tags":[46781,32763,32956],"class_list":["post-1004348141","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-featured","category-industrial","category-national","category-latest","tag-association-of-american-railroads","tag-colliers-international","tag-prologis"],"acf":[],"yoast_head":"\nMarket Pulse: US Industrial Sector Still Solid - Commercial Property Executive<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Market Pulse: US Industrial Sector Still Solid\" \/>\n<meta property=\"og:description\" content=\"A crucial question, notes Colliers\u2019 new report\u2014how long will today\u2019s conditions last?\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/\" \/>\n<meta property=\"og:site_name\" content=\"Commercial Property Executive\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/CPExecutive\" \/>\n<meta property=\"article:published_time\" content=\"2019-08-26T13:01:40+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2021-05-15T13:14:01+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/08\/industrial-news-09.-Image-via-Pixabay.com_-e1570508156351.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"800\" \/>\n\t<meta property=\"og:image:height\" content=\"600\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Scott Baltic\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@cpexecutive\" \/>\n<meta name=\"twitter:site\" content=\"@cpexecutive\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/\",\"name\":\"Market Pulse: US Industrial Sector Still Solid - Commercial Property Executive\",\"isPartOf\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/08\/industrial-news-09.-Image-via-Pixabay.com_-e1570508156351.jpg\",\"datePublished\":\"2019-08-26T13:01:40+00:00\",\"dateModified\":\"2021-05-15T13:14:01+00:00\",\"author\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/61ac1450f3ffaa0e850b834c28526555\"},\"breadcrumb\":{\"@id\":\"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/#primaryimage\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/08\/industrial-news-09.-Image-via-Pixabay.com_-e1570508156351.jpg\",\"contentUrl\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/08\/industrial-news-09.-Image-via-Pixabay.com_-e1570508156351.jpg\",\"width\":800,\"height\":600,\"caption\":\"Image via Pixabay.com\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.commercialsearch.com\/news\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Market Pulse: US Industrial Sector Still Solid\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#website\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/\",\"name\":\"Commercial Property Executive\",\"description\":\"\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.commercialsearch.com\/news\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/61ac1450f3ffaa0e850b834c28526555\",\"name\":\"Scott Baltic\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2022\/06\/Scott.jpg?w=96\",\"contentUrl\":\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2022\/06\/Scott.jpg?w=96\",\"caption\":\"Scott Baltic\"},\"description\":\"Scott Baltic has been a contributing editor with Commercial Property Executive since 2011 and also wrote for its predecessor, Commercial Property News. He started writing about CRE in 1988 for a group of Chicago-based publications and in 1989 became the editor of Midwest Real Estate News. After moving on from there in 1991, Baltic continued writing occasionally about real estate, for publications like the Chicago Sun-Times, National Real Estate Investor, Urban Land, Shopping Center World and Architect\u2019s Newspaper. He earned a master\u2019s in journalism from Northwestern University\u2019s Medill School of Journalism and has a bachelor\u2019s from North Park University.\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/author\/scott-baltic\/\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Market Pulse: US Industrial Sector Still Solid - Commercial Property Executive","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/","og_locale":"en_US","og_type":"article","og_title":"Market Pulse: US Industrial Sector Still Solid","og_description":"A crucial question, notes Colliers\u2019 new report\u2014how long will today\u2019s conditions last?","og_url":"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/","og_site_name":"Commercial Property Executive","article_publisher":"https:\/\/www.facebook.com\/CPExecutive","article_published_time":"2019-08-26T13:01:40+00:00","article_modified_time":"2021-05-15T13:14:01+00:00","og_image":[{"width":800,"height":600,"url":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/08\/industrial-news-09.-Image-via-Pixabay.com_-e1570508156351.jpg","type":"image\/jpeg"}],"author":"Scott Baltic","twitter_card":"summary_large_image","twitter_creator":"@cpexecutive","twitter_site":"@cpexecutive","schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/","url":"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/","name":"Market Pulse: US Industrial Sector Still Solid - Commercial Property Executive","isPartOf":{"@id":"https:\/\/www.commercialsearch.com\/news\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/#primaryimage"},"image":{"@id":"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/#primaryimage"},"thumbnailUrl":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/08\/industrial-news-09.-Image-via-Pixabay.com_-e1570508156351.jpg","datePublished":"2019-08-26T13:01:40+00:00","dateModified":"2021-05-15T13:14:01+00:00","author":{"@id":"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/61ac1450f3ffaa0e850b834c28526555"},"breadcrumb":{"@id":"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/#primaryimage","url":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/08\/industrial-news-09.-Image-via-Pixabay.com_-e1570508156351.jpg","contentUrl":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/08\/industrial-news-09.-Image-via-Pixabay.com_-e1570508156351.jpg","width":800,"height":600,"caption":"Image via Pixabay.com"},{"@type":"BreadcrumbList","@id":"https:\/\/www.commercialsearch.com\/news\/market-pulse-us-industrial-sector-still-solid\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.commercialsearch.com\/news\/"},{"@type":"ListItem","position":2,"name":"Market Pulse: US Industrial Sector Still Solid"}]},{"@type":"WebSite","@id":"https:\/\/www.commercialsearch.com\/news\/#website","url":"https:\/\/www.commercialsearch.com\/news\/","name":"Commercial Property Executive","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.commercialsearch.com\/news\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/61ac1450f3ffaa0e850b834c28526555","name":"Scott Baltic","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.commercialsearch.com\/news\/#\/schema\/person\/image\/","url":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2022\/06\/Scott.jpg?w=96","contentUrl":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2022\/06\/Scott.jpg?w=96","caption":"Scott Baltic"},"description":"Scott Baltic has been a contributing editor with Commercial Property Executive since 2011 and also wrote for its predecessor, Commercial Property News. He started writing about CRE in 1988 for a group of Chicago-based publications and in 1989 became the editor of Midwest Real Estate News. After moving on from there in 1991, Baltic continued writing occasionally about real estate, for publications like the Chicago Sun-Times, National Real Estate Investor, Urban Land, Shopping Center World and Architect\u2019s Newspaper. He earned a master\u2019s in journalism from Northwestern University\u2019s Medill School of Journalism and has a bachelor\u2019s from North Park University.","url":"https:\/\/www.commercialsearch.com\/news\/author\/scott-baltic\/"}]}},"jetpack_featured_media_url":"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/08\/industrial-news-09.-Image-via-Pixabay.com_-e1570508156351.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts\/1004348141","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/users\/882"}],"replies":[{"embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/comments?post=1004348141"}],"version-history":[{"count":4,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts\/1004348141\/revisions"}],"predecessor-version":[{"id":1004533466,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/posts\/1004348141\/revisions\/1004533466"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/media\/1004348153"}],"wp:attachment":[{"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/media?parent=1004348141"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/categories?post=1004348141"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.commercialsearch.com\/news\/wp-json\/wp\/v2\/tags?post=1004348141"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}