Q2 2018 Industrial Research & Forecast Report – Regional Industrial Market
The regional vacancy rate has been holding at 6.4% at the end of the second quarter of 2018.
Year-to-date absorption approached 7.0 million square feet, below last year’s six-month total of 11.5 million square feet.
Asking rents increased by 3% following a 4% increase in 2017.
Construction deliveries increased during the second quarter, boosted by two 1.0-million-square-foot buildings.
Investment activity was up sharply in the second quarter after a slow start to the year.
The first six months of 2018 lagged behind the mid-year results of the previous two years in terms of absorption and construction completions. There was a strong pipeline of requirements for existing and new speculative construction and 5.0 million square feet of build-to-suit projects scheduled for completion in the third and fourth quarters, all indicating stronger second half absorption.
Rose Penny, Market Research Director | Philadelphia, serves as Market Research Director at Colliers and is a member of the Colliers International Research Council. She is responsible for the compilation, analysis, and dissemination of all market data for the firm. She is also responsible Colliers Research Reports for Philadelphia, as well as detailed market studies on more than 500 million square feet of commercial real estate in Pennsylvania, New Jersey and Delaware. She produces detailed demographic studies, maintains an extensive database of lease and sale transactions and assists in the preparation of tax studies and opinions of value.